The hyper-inflated housing market needs to cool, not collapse.
"The 70-year period that began with the widespread diffusion of the automobileduring which one could get nearly anywhere in a typical metropolitan area in half an hour or lessis over. Before there was widespread automobile ownership, land prices depended on location, and proximity to the central city or to the local railroad station carried a premium.
"Now, with serious congestion slowing traffic in major cities to a crawl, the land gradient in housing prices is steep once again. Perhaps this steepening of the location gradient could be delayed for a decade if we were willing to shift to denser residential patterns. We could, for example, tear down San Franciscos row houses and replace them with buildings more like those of New Yorks Upper West Side. But we arent willing to do that."
Thanks to Michael Dudley
FULL STORY: Pricking The Bubble

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