LovePrevails Posted June 7, 2016 Share Posted June 7, 2016 I think you might enjoy this article, it explains very well how government is responsible for this massive increase in costs of living http://scottishlibertarians.com/the-hope-of-affordable-housing/ 1 Link to comment Share on other sites More sharing options...
RichardY Posted June 7, 2016 Share Posted June 7, 2016 http://scottishlibertarians.com/the-hope-of-affordable-housing/ Link was broken for some reason, got a UKIP mailing address instead, so did a google search. Good article, seems like a nightmare for average first time buyers to get a place in the UK. The State screws up building additional council housing and still gets more money, the councils estates are rubbish construction and layout compared to property built 300 years beforehand. I think IMO the average habituated Baby Boomer Brit though expects house prices to continue to rise ad infinitum over the longer term. I think they would have to fall, where is all the wealth going to come from to buy the existing stock? and if the country continues to go to shit in many areas why would people continue to live there. 1 Link to comment Share on other sites More sharing options...
aviet Posted June 7, 2016 Share Posted June 7, 2016 I think you might enjoy this article. My worry is that they will be able to prop this up again. People who have a stake in society, from people earning a modest £20k pa to billionaires are going to suffer in a much needed hard correction. There is a big impetus for these people to maintain a standard of living and the value of their assets. Just as the Soviet Union carried on in abject failure, so long as the apparatchiks wanted to keep it going, it continued. It was not until even at the top they realise their system was a failure did they let it completely fail. There are a lot of people saying that the next crash will force governments into bankruptcy, end the dollar, but I think it may be possible they can pull new tricks out of the bag to keep it going. As long as chronic defaults on debt can be avoided, the system can continue. In the '08+ bailouts, doom bugs like myself were saying 'it's all over', but the chronic debts in the banking system were secured with QE and since very little of that QE has come into general inflation, there has been little inflation. In the seemingly inevitable coming crash, if the most dangerous debt bubbles can be secured with non-liquid QE, I think the game could continue. Last time round the Bank of England bought up large chunks of government debt that no one wanted to buy. If we are heading into a new crash, that program would have to go on steroids mixed with real austeiry. I see this as more likely than allowing a crash and reset. It's when the bailout system runs out of control and the public at large looses faith that a real crash will come. Link to comment Share on other sites More sharing options...
LovePrevails Posted June 10, 2016 Author Share Posted June 10, 2016 thanks for the feedback guys glad you got something out of the article Link to comment Share on other sites More sharing options...
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