Great debate on the recovery of housing (and why government can't do anything right)

Fox Business Channel ^ | July 22, 2010 | Brian Sullivan

[whitedog57]

I like the statement "You know the Midas Touch? The government has the Medusa Touch where everything it touches turns to stone, like housing."

[whitedog57]

This was one of the more enjoyable debates today after listening to Stuart Varney & Company. Watch Brian Sullivan's eyebrows when Anthony Sanders of George Mason tells him that the housing recovery could last 10 years because of spending tax increases, high unemployment, etc.

[whitedog57]

I also liked his comment about the Dems raising taxes in a steep recession. “I don’t know what they’re smoking ..”

[org.whodat]

Housing recovery will never happen in most of our lives, 4++ million of over built homes and the 40+- millions of babyboomers that are soon to be headed out for the long dirt nap.

[WILLIALAL]

I always wondered what the long term impact was going to be when the baby boomers retire and try to sell their homes either for retirement purposes or to downsize. Seems there is going to be a continuous stream of used houses coming on the market.

[org.whodat]

In 1996 there was 78 million babyboomers. When the die off starts, Mexican gardeners cannot afford those homes.

[central_va]

Wait until our foreign debt holders start to convert their govt t-bills into real estate. The new serfdom.....

[fhayek]

Government policies led to a housing bubble where more houses were built than the economy could sustain. Banks have really tightened their mortgage lending requirements. You can try to pump money into the economy all you want, but it will take time to absorb the excess supply of houses before new ones will be built in any great number. Economics, what a concept.