Posted by sigismund on March 20, 2012, at 20:26:13
In reply to Re: The 'big one' is coming, posted by linkadge on March 20, 2012, at 18:18:48
>What form of real estate did you invest in?
I didn't. I bought shares around 2006! I'm not sure I understand. I have a house.
The Australian property market is way up on the US one. Various ratios are used to argue that it is overvalued by around 40%. These are a comparison of rents to prices, and yearly wages to prices, IIRC. I'm not convinced but I don't know anything......ratios can remain out of whack for years. I bought a house around 1980 for 37,000 and now it would cost over half a million, so I feel quite disoriented.
The EMU was a mistake, I guess. If a state in the US goes bust everyone can leave as I read kind of happened maybe? But this is not so easy in Europe. And the problem for Spain was something like this.....the ECB wanted to make things easy on the Germans (can't remember what) so money was made easy and then it flowed into Spain and they built way too much. The government there was not over spending.
poster:sigismund
thread:1013397
URL: http://www.dr-bob.org/babble/social/20120312/msgs/1013512.html