This is one of the best threads I have read in a while. Nice post D.M.
The only problem I see with the argument is that it seems to make sense in a hypothetical sense (meaning I do understand and can rationalize your argument), but it doesn’t seem to work in a real world scenario. Incomes have not risen as the dollar has been devalued. So a 700k house that was 400k five years ago is still expensive to most buyers. Milk may have gone up 80%, but I can still buy milk. Housing went up 80%, and while it has come down a bit, it is still out of my price range. I guess I am looking at it in layman’s terms. To the average Joe, these houses are still out of reach for most Americans.
