"Nobody wants to build housing " Construction is 11% of the Canadian economy, and it's not just a function of housing shortage. "It's supply and demand" Tech

"Nobody wants to build housing " Construction is 11% of the Canadian economy, and it's not just a function of housing shortage. "It's supply and demand" Technically, but that's not the best way to describe it. This is not 'more people fewer homes' It's mostly due to low interest rates, and, the very strong expectation there will be increased value. This leads to explosive valuations. Add in some foreign interest, banks making loans for ever longer periods, and it gets into an ugly cycle. It's very, very bad for the economy to get into this state because money pours into assets that don't increase productivity.