dances with sheeple Posted January 20, 2009 Share Posted January 20, 2009 The real problem might be that perception of risk has changed- many people in the past were willing to take on massive mortgages because they had grown used to an enviroment where risk seemed non existant and gain seemed a forgone conclusion.But in recent times it has been graphicly demostrated that house prices can go down. This shocking revelation will, I feel, temper many peoples willingness to take on mortgages at the very edge of affordability- they now know that the possibility exists that what has happened in the recent past can happen again- this is a new world of risk that many people who came of age during the boom had not suspected was possible. Was there ever a specualtive bubble in history that was successfully reflated once the mythology that sustained it was shown to be false? Nicely put. Quote Link to comment Share on other sites More sharing options...
dances with sheeple Posted January 20, 2009 Share Posted January 20, 2009 Reflated? No. But Repeated? Yes.The history of house price booms and busts is testamount to that. Again, and again, and again......... There has never been a "boom" like this one though? Quote Link to comment Share on other sites More sharing options...
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