sooth_sayer's Comments RSS Syndication from SeekingAlpha.com http://seekingalpha.comuser/230044/comments http://seekingalpha.com/article/85979-india-s-strong-growth-should-continue?source=feed#comment-212004 212004 Tue, 22 Jul 2008 22:58:09 -0400 http://seekingalpha.com/article/85979-india-s-strong-growth-should-continue?source=feed#comment-211538 211538 Let me clarify that there was NEVER a bubble in the USA, and what the media in the USA terms a bubble is basically just a tripling of home prices in TWENTY years in coastal areas. In the rest of the USA, home prices have only DOUBLED in the last TWENTY years. And this very meager appreciation is what they call a bubble, which is utterly ridiculous. The leftist media in the USA wants home prices to stagnate forever. Media in India, on the other hand, is a non-stop hype machine, getting more investors into the ponzi game. Land prices have gone up anywhere from 100 times to a 1000 times in the past 20 years in India, and compare that to 2-3 times in the USA. Even low quality apartments in most Indian towns cost more than even a decent single family home in a corresponding place in the USA. Nothing could be said to justify that, when you compare incomes, infrastructure and quality.]]> Tue, 22 Jul 2008 11:39:37 -0400 Let me clarify that there was NEVER a bubble in the USA, and what the media in the USA terms a bubble is basically just a tripling of home prices in TWENTY years in coastal areas. In the rest of the USA, home prices have only DOUBLED in the last TWENTY years. And this very meager appreciation is what they call a bubble, which is utterly ridiculous. The leftist media in the USA wants home prices to stagnate forever. Media in India, on the other hand, is a non-stop hype machine, getting more investors into the ponzi game. Land prices have gone up anywhere from 100 times to a 1000 times in the past 20 years in India, and compare that to 2-3 times in the USA. Even low quality apartments in most Indian towns cost more than even a decent single family home in a corresponding place in the USA. Nothing could be said to justify that, when you compare incomes, infrastructure and quality.]]> http://seekingalpha.com/article/85979-india-s-strong-growth-should-continue?source=feed#comment-211189 211189 Mon, 21 Jul 2008 23:02:38 -0400 http://seekingalpha.com/article/85979-india-s-strong-growth-should-continue?source=feed#comment-211090 211090 Jul 21 06:59 PMClearly, the author has lost a lot of money in the crash from the absurd valuations of Indian (and Chinese) markets. He is trying to pump it up as much as he can in a desperate attempt. Percentages are very misleading, and it is easy for a 1 trillion dollar economy (which is what India's GDP is currently) to show a 8-10% return, especially when it is coming almost completely from foreign sources. The US economy is $15 trillion, and even if it grows just 1%, its GDP growth is more than that of India in dollar terms. The law of numbers makes it harder for bigger numbers to grow by bigger percentages. So beware all scamsters who rely on percentages alone. Also, just because FIIs invested so much recently into India does not mean they are right in their investment strategy. Many established institutions do things wrong. US banks were lending easy money to home buyers for the past 5+ years, and by the author's argument, they should have done that because they expected a strong housing market. That's not what happened in the US, and the banks are now in trouble. India is right behind, when the greatest real estate bubble in the Universe pops in its metros. Mark my words, the next decade is going to be very dark for India, when all the hype is removed, India will be exposed for it truely is, a corrupt, cheating nation.]]> Mon, 21 Jul 2008 19:04:31 -0400 Jul 21 06:59 PMClearly, the author has lost a lot of money in the crash from the absurd valuations of Indian (and Chinese) markets. He is trying to pump it up as much as he can in a desperate attempt. Percentages are very misleading, and it is easy for a 1 trillion dollar economy (which is what India's GDP is currently) to show a 8-10% return, especially when it is coming almost completely from foreign sources. The US economy is $15 trillion, and even if it grows just 1%, its GDP growth is more than that of India in dollar terms. The law of numbers makes it harder for bigger numbers to grow by bigger percentages. So beware all scamsters who rely on percentages alone. Also, just because FIIs invested so much recently into India does not mean they are right in their investment strategy. Many established institutions do things wrong. US banks were lending easy money to home buyers for the past 5+ years, and by the author's argument, they should have done that because they expected a strong housing market. That's not what happened in the US, and the banks are now in trouble. India is right behind, when the greatest real estate bubble in the Universe pops in its metros. Mark my words, the next decade is going to be very dark for India, when all the hype is removed, India will be exposed for it truely is, a corrupt, cheating nation.]]>