[quote=Nor-LA-SD-guy]This will not make me popular on this board but.
I think the only way to get the economy moving again is to get home prices back at peak pricing,
So how do they do that ?? who knows …
I don’t think anyone has the answer, me I would start by announcing that we were going to double the minimum wage over the next six months, then follow through, not that this would be fair or not lead to other problems but nothing is going to work until we are back at peak pricing.
There is no other way to unfreeze and collect enough taxes to get everything moving again.,[/quote]
I’m trying to follow the logic here. While I agree that higher wages would help, propping up housing prices at totally unaffordable levels (which sapped the consumers’ long-term ability to spend) would be the very worst mistake they could make.
If people could buy houses for a dollar, while their wages remained the same as today (just hypothetical here), it would free up so much cash that could be used to stimulate the real economy…and that spending wouldn’t have a debt offset that removes economic activity from the future.
How is more debt the answer to our debt saturation problem?
The answer to our problem is LOWER PRICES. It is the ONLY way to create a sustainable foundation — washed clean of the irresponsible misallocation of capital — from which we can build a truly healthy economy.
