I think that’s probably a worst case scenario but I wouldn’t discount it. I’ve studied the Great Depression to some extent and I find a lot of parallels between the roaring 20’s and the roaring 90’s. We’ll just have to wait and see.
One thing that people don’t talk about a lot is oil prices. If we have any sort of oil price shock that would REALLY spook the housing market at the worst possible time. That could be the “trigger” for a sharp drop off in spending that would cripple the global economy.
