Tuesday , 12 November 2019


Economy

Does New Debt Add to GDP Or Put A Drag On Growth? This Chart Provides the Answer

We have lived through a credit induced holographic standard of living considered to be “normal”. Never...has a genuine lifestyle been funded continuously on credit. Each attempt always failed miserably. The only difference today is that more of the world is involved along with more credit used than ever before. The only logical conclusion is this latest credit experiment to fund lifestyle will fail on a far grander scale than ever before!

Read More »

U.S. Housing Market Should Continue Strong Until 2020, Then Subside Through 2025 – Here’s Why

Demographics have been a tailwind for the housing market increasing the pool of potential first buyers on the order of roughly 250,000 households per year since 2010. An analysis of the situation below shows that the strong demographic tailwind in the housing market should continue through 2020, and thereafter, while not turning into a headwind, gradually subside through roughly 2025.

Read More »

Canada’s Financial Condition Much Worse Than That Of the U.S.: A Comparison In 5 Revealing Charts

On a real basis, Canadian housing prices experienced a much smaller, shorter decrease in prices during the financial crisis and a much larger, longer increase in prices during the recovery. When you couple this unfathomable rise in housing prices with near-record high household debt-to-income ratios, the Canadian housing bubble starts to look scary should the tide turn. No one knows when insanity like this will come to an end. Bubbles are like an avalanche", the longer they build up, the worse they will be when they eventually destabilize but it most likely will be the result of higher rates

Read More »

Ranked: The Best and Worst State Economies

It’s hard to directly compare California ($2.75 trillion GDP, 39.5 million people) to a state like Vermont ($33 billion, 0.6 million people) using absolute numbers. By leveling the playing field, we can get an idea of how states contrast in terms of relative economic strength that companies and workers would better recognize. Today’s article uses 27 metrics from WalletHub to rank all 50 state economies and D.C.

Read More »