Do you remember when Covid led to empty shelves, panic buying of toilet paper and then when it all ended – a surge in inflation? It was only 3 years ago, though it feels longer. However, US stores could soon see looming shortages as 145% tariffs on China caused a sharp drop in US imports …
Inflation is generally controlled by the Central Bank and/or the government. The main policy used is monetary policy (changing interest rates). However, in theory, there are a variety of tools to control inflation including: Monetary policy – Higher interest rates reduce demand in the economy, leading to lower economic growth and lower inflation. Control of …
The best guide to US elections is the state of the economy. If the economy is doing badly with high unemployment and/or higher inflation. The party of the sitting US president tends to get punished by the voters. But, how much influence does the President have on the economy and the rate of inflation? In …
House Prices – What Happens Next?Watch this video on YouTube Here is a graph that often surprises me. If we adjust UK house prices for inflation, they are the same level as 2003. In other words, if you bought a house in 2003, ignore the effects of inflation, then the average house hasn’t increased in …
Do you remember the days when you can afford to buy a house with a modest income and small deposit? I don’t. I’m middle aged, but the last time house prices were affordable, I was trying to buy football stickers rather than a 3 bed semi. 10 Reasons You Can’t Afford to buy a House?Watch …
In both 2007 and 1991, house prices fell 20%, will see something similar this year? The really interesting question is whether house prices return to the post-war levels of affordability like after the crashes of 1990 and to a lesser extent 2008. Will The House Price Crash Be Like 1991 and 2008?Watch this video on …
Do we really need to build 300,000 Homes a year – How Bad is the Housing Shortage? When we talk about UK housing, we tend to think of an acute shortage. And it is not surprising given the fact house prices have reached nine times income, and we face a crisis of affordability. But, do …