Rising asset prices (housing, stocks) are a function of inequality. They’re increasingly decoupled from things like interest rates and inflation because there’s so much wealth at the top that all the demand is for assets, not goods and services. And that’s a self-perpetuating cycle that has already snowballed significantly, because rising asset prices only benefit the very wealthy who can afford to hold assets they don’t need, while impoverishing everyone else.
So you need to decommodify housing. Limit asset acquisition by the capital class. And do really aggressive taxation to start to close the inequality gap.
Exactly.
Rising asset prices (housing, stocks) are a function of inequality. They’re increasingly decoupled from things like interest rates and inflation because there’s so much wealth at the top that all the demand is for assets, not goods and services. And that’s a self-perpetuating cycle that has already snowballed significantly, because rising asset prices only benefit the very wealthy who can afford to hold assets they don’t need, while impoverishing everyone else.
So you need to decommodify housing. Limit asset acquisition by the capital class. And do really aggressive taxation to start to close the inequality gap.