Humblemaster

Putting the Perception and Reality of the Financial Crisis Into Perspective

In looking at historic home price increases since 1940, we have averaged about about a 15% increase in asset value per decade through 2000, but a whopping 60% increase in yrs. 2000 - 2008. If we have some 48 trillion of valuation out there in US homes, and even if 10% of that is already gone, aren't we due for another 35% correction before this bubble comes historically in line? this is theoretically 16 Trillion. What kind of GDP do we need going forward to mitigate that? This seems to me to be a crisis of unimaginable proportions. 700B may not make a dent.
Please, input from more knowlegable people?

3 Things America Needs to Do to Get the Economy Back on Track

In looking at historic home price increases since 1940, we have averaged about about a 15% increase in asset value per decade through 2000, but a whopping 60% increase in yrs. 2000 - 2008. If we have some 48 trillion of valuation out there in US homes, and even if 10% of that is already gone, aren't we due for another 35% correction before this bubble comes historically in line? this is theoretically 16 Trillion. What kind of GDP do we need going forward to mitigate that? This seems to me to be a crisis of unimaginable proportions. 700B may not make a dent.
Please, input from more knowlegable people?