An old man told my old friend many years ago in Sicily: Buy real estate on the water. My friend told me that he thought the old guy was crazy. On the contrary, that old man had the wisdom of seeing a future different that of the past dictatorship of Mussolini. Real estate taken away from the nobles and distributed to the people would eventually create value. With the introduction of democracy and eventually some capitalism, property values tended to go up in Italy. Another factor is inflation. If inflation is at 20 percent, it is reasonable to assert that property values should go up 20 percent. In a perfect world, maybe inflation and property values should go hand in hand. But this is not case. Real estate is different and laws are different in different places. Collusion in real estate also tend to keep prices higher as well as easy lending. It is funny that when you ask Kudlow or any other top economist at some Waldorf Astoria conference about real estate, they tend to shy away indicating that they don't make predictions on real estate. A real economist, instead would have to crunch some numbers and come to some kind of value. When I asked Larry back in November 2005 a combo question about Americans borrowing too much and real estate values going up too fast, he argued on the contrary relating his answers to the health of the M1 and M2 and M3 and the strength of the GDP.
Little did he know that we were, and still today, heading towards one of the most depressive period since the Great Depression.
Wednesday, June 25, 2008
Subscribe to:
Post Comments (Atom)
PLEASE VISIT OTHER BLOGSPOTS
FOR INTERNATIONAL MUSIC RADIO, GO TO ALL MUSIC AT WWW.BERLUSCONIITALIA.BLOGSPOT.COM
PRIVACY RULES DISCLOSURE
Google offers a range of advertising services through our AdWords and AdSense programs to show you the most useful and relevant ads online. These ads appear on Google’s sites and services, and on partner websites in the Google content network. Some ads are based primarily on your search queries or on the content of the page you’re viewing. When providing ads tailored to your interests, we offer useful tools for you to view and manage the information that is being collected and used to serve ads. To protect your privacy, we follow three principles when we serve ads:
Transparency – We provide detailed information about our advertising policies and practices.
Choice – We offer innovative ways to view, manage and opt out of advertising cookies.
No personally identifying information – We don’t collect or serve ads based on personally identifying information without your permission.
The Google Privacy Policy describes how we treat personal information in Google’s products and services, including information provided when using or interacting with our advertising services. In addition, the Privacy Policy for Google ads and the Google content network and the specific privacy notices for Google services describe our privacy practices relating to our advertising services. Google also offers display advertising services through DoubleClick. For more information, see our privacy practices related to DoubleClick advertising products. And to learn more about YouTube’s approach to advertising, see YouTube Advertising and You.
Advertising Cookie Opt-out
Google uses cookies to improve your online experience, including the display of more relevant ads. Learn more about how Google uses advertising cookies.
Anyone may opt out of the DoubleClick cookie (for AdSense partner sites, DoubleClick ad serving, and certain Google services using the DoubleClick cookie) at any time by clicking the button above. Google also offers a number of options to permanently save your opt-out settings in your browser. In addition, Google allows third party advertisers to serve ads on the Google content network. Using a tool created by the Network Advertising Initiative, you can opt out of several third party ad servers’ and networks’ cookies simultaneously. (Google also uses cookies for Google Analytics and conversion tracking.)
Transparency – We provide detailed information about our advertising policies and practices.
Choice – We offer innovative ways to view, manage and opt out of advertising cookies.
No personally identifying information – We don’t collect or serve ads based on personally identifying information without your permission.
The Google Privacy Policy describes how we treat personal information in Google’s products and services, including information provided when using or interacting with our advertising services. In addition, the Privacy Policy for Google ads and the Google content network and the specific privacy notices for Google services describe our privacy practices relating to our advertising services. Google also offers display advertising services through DoubleClick. For more information, see our privacy practices related to DoubleClick advertising products. And to learn more about YouTube’s approach to advertising, see YouTube Advertising and You.
Advertising Cookie Opt-out
Google uses cookies to improve your online experience, including the display of more relevant ads. Learn more about how Google uses advertising cookies.
Anyone may opt out of the DoubleClick cookie (for AdSense partner sites, DoubleClick ad serving, and certain Google services using the DoubleClick cookie) at any time by clicking the button above. Google also offers a number of options to permanently save your opt-out settings in your browser. In addition, Google allows third party advertisers to serve ads on the Google content network. Using a tool created by the Network Advertising Initiative, you can opt out of several third party ad servers’ and networks’ cookies simultaneously. (Google also uses cookies for Google Analytics and conversion tracking.)
No comments:
Post a Comment