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Animal Spirits Podcast

People Love to Complain (EP.334)

Nov 15, 2023
Hosts discuss frustrations with falling inflation rates, potential impact of Fed rate cuts in 2024, long-term stock market charts, state of the housing market, financial analysis of Home Alone, changing habits and weak demand, opinions on vests and clear backpacks, thoughts on Sebastian Meniscalco and new TV show The Curse.
01:05:52

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Quick takeaways

  • Housing prices have historically risen during recessions, except during major financial crises.
  • Despite concerns about high inflation, consumer spending remains steady.

Deep dives

Housing Market Strong Amidst High Prices

The housing market remains strong, with home prices holding steady even during a recession. The Macallister family home from the movie Home Alone sold for $875,000 in 1989, which, when adjusted for inflation, is similar to its current estimated value of $2.3 million. Home prices have historically risen during recessions, with only two exceptions being major financial crises. First-time home buyers and baby boomers are currently driving the housing market activity.

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