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Do you have data to support that a few unicorn valuations being corrected will spread to the rest of the economy, particularly housing and not just be largely l
by shostack 11y ago
Do you have data to support that a few unicorn valuations being corrected will spread to the rest of the economy, particularly housing and not just be largely limited to private markets and investors?
- danjayh 11y agoYes and no. With regard to spreading, just prior observation that adjustments tend to spread. With regard to housing, the observation that the median home price : median income ratio is now above 5.2x, while at the last peak it was only at ~5x. The rate of growth is lower this time, but I don't think it matters because the ratio is still really bad. http://politicalcalculations.blogspot.com/2015/04/the-current-trend-for-us-median-new.html http://politicalcalculations.blogspot.com/2015/04/the-curren...
- pfarnsworth 11y agoDuring the last bust home prices went up not down. Because investment rotated from stocks to housing. Why won't that happen again, especially with ZIRP?