Why People Don't Care About Home Prices

When Chip and I are public, there was no good index at all. Nobody had ever seen that before. So how do you expect people to form rational expectations if they don't have the data? And so when I wrote the second edition of my Wokey Rational Exuberance, I computed a home price index for the United States back to 1890. They believe most people, that home prices are, except in special areas, their construction cost driven.