3min chapter

The Joe Walker Podcast cover image

Housing Bubble Week: Can We Predict Housing Bubbles? - Dean Baker

The Joe Walker Podcast

CHAPTER

The Causal Mechanism of the Housing Bubble

There was a large demographic pressure in the US, which would have led one to expect suppression on house prices at a time when they were running up. The first cohorts of baby boomers were reaching retirement. Why do retirees put downward pressure on house prices? So again, this is one of the perversities that we had in the bubble years.

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