Posted 3 years ago on Sept. 29, 2013, 9:49 p.m. EST by MyBrothersKeeper
This content is user submitted and not an official statement
Why is increased home values seen as healthy for our economy? I just cannot get my head around the absurdity of counterproductive economics being pushed, and even viewed by the masses as a "good thing". Increases in housing prices began even before home sales had rebounded. There was not a reduction in housing volume nor an increase in housing purchases, so what justified increases in value? Answer; nothing. There is no justification for it. The same goes for energy pricing. In fact, much of our economy is retarded (literal use of the word) from an economic standpoint. Prices are not dictated by supply and demand. Prices for the most part are now a fabrication based on projections and trading and other side effects of our speculative trade markets (wall street).
Here is a crazy thought.
When people cannot afford to demand what the markets are dictated to supply.... (use your imagination)
Since prices are not decided by supply and demand, there can be no real assessment of what the market will bear. Ie, the housing market obviously cannot be sustained at 2006 levels without an increase in household incomes but it is the goal of the Federal Reserve to bring housing values back to that level. It is the goal of the Federal Reserve to bring housing values back to an unsustainable level.
This is how our entire economy is being run ATM. How is this a plan for anything but a repeat?
This is why I welcome another, much larger Wall St collapse. The sooner it happens the better off the world will be for it.