http://blogs.telegraph.co.uk/finance/ambroseevans-pritchard/100007092/reckless-europe-beats-reckless-america-at-property-bubbles/
I think Ambrose has underestimated the US inventory, or he just hasn't figured out that the banks have it well hid off their balance sheets, but that's beside the point. The point is how many countries that he points out who all coincidentally had the same type of bubble at the same time.
What a convenient coincidence, or is it? It would seem to me that the same type of banking model practice has been put to extensive use world wide, and world wide it blew up into their face.
Can you see the outline of a plot here, that was FED fortified?
Or else the world got stupid all at the same time.
The we didn't know excuse just doesn't wash anymore
This was an intentional take down.
Once and for all, let us nail the lie that the global credit crisis was basically a US sub-prime property bubble that went wrong, and that Europe was merely an innocent bystander hit by shrapnel.
This is the property bubble chart on Page 12 of the IMF’s latest report (Article IV) on France.
As you can see, France had the most extreme price rises from 1997 to 2009, followed by Spain and Italy some way below.
The Anglo-Saxons were more moderate. The US bubble was tame by comparison (measured by price: inventory overhang is another matter) and has largely corrected. This the American way, a short sharp purge. The Club Med bubbles have not corrected, by a long shot.
