November 17, 2009

Biggest U.S. Export? Bubbles

FIFO, LIFO & LILO “Where is the money [created by the U.S.] going? Where the problem’s going to be: Asia. You can see asset prices going up, not only in Korea, in Taiwan, in Singapore and in Hong Kong, going up to levels that are incompatible or inconsistent with the economic fundamentals.” –Donald Tsang, Hong...
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Grandparent and Grandchild Bubbles

A 30 Year Overview of Commercial Real Estate Did you know that bubbles can have progeny? That’s John Carney’s take, in his treatise-length (but extremely worthwhile) post, “How A Government Bailout Created Today’s Commercial Real Estate Catastrophe” (Clusterstock; 11/16/2009). According to Carney, today’s commercial real estate bubble is actually a “grandchild” bubble; the “grandparent” was...
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