Your so called economic fundamentals always presuppose all other things remain equal. In other words - you make tooassumptions in your economic bs theory.
All other things do not remain equal. To wit
1. We have a very tax pro property policy 2. Australia is hardly a mature society in economic terms and will be a growth area for a while to come. 3. There is a shortage of housing - irrespective of the now and then doubters. 4. If the baby boomers have been hurt by the ASX they will re-enter the property market when it all pans out. 5. Don't talk of yield curves on current values - most property investors are that far ahead thanks to leverage - so lets talk return on actual money spent and lets talk equity growth over the long term. 6. You guys quote one economists and there will be another 10 to counter that. 7. Human behaviour - its a marketplace - nothing is as predictable according to your J curves as you would like to believe. 8. etc etc
Dogma and Stevie thank you so much for your kind thoughts and meaningful expressions gentlemen - you are real gems.
