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Real Estate Bubbles and California's Economic Growth, Part 1

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An economics presentation at Humboldt State University. Special guest lecturer Dr. Christopher Thornberg of Beacon Economics discusses the current housing bubble and its effects on California.

Channel: News & Politics
Uploaded: April 13, 2007 at 6:59 am
Author: HumboldtEconomics

Length: 09:38
Rating: 4.79
Views: 37812

Tags: banking  bubble  business  California  career  college  Economics  housing  Humboldt  lecture  market  money  University  

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Video Comments

barberaproperties (July 11, 2008 at 2:33 am)
Regardless of the ups and downs in the market, trying to put quality in to a property is important.
OwnAHomeNow (June 30, 2008 at 4:14 am)
Many smart folks have called it the 'housing ATM'
tbreest (June 14, 2008 at 9:22 pm)
Here in the Phoenix area, real estate sales have had a sudden surge, granted prices have fallen sharply in the last few weeks. Listingsupply com indicates that MLS listings in the major US markets are finally starting to fall, which should mean price stability ahead. Let's hope!
tulsarealestate (May 18, 2008 at 4:50 am)
So, what's that appreciation on a cardboard box in a Hooverville :) There are several inaccuracies here but none which devalue the general point of the video - illogical use of real estate solely as a speculative tool which always appreciates in value. There are many areas outside of these depressed markets which are pretty stable because they did not participate in the bubble. Most Bubbleville residents' world tends to revolve around themselves.
BubbFromGEI (May 18, 2008 at 2:51 am)
Good presentation. But one clarification: Piet Eichholtz, a professor of real-estate finance at Maastricht University in the Netherlands, studied 450 years of price history on the Herengracht, or Gentlemen's Canal. For my own forecast of prices in the UK, search "UK Property" on YouTube. You will see that Builder share prices are a good leading indicator.
ourearthhome (May 10, 2008 at 11:44 am)
Pretty good stuff but like most economists and commentators he fails to mention that the housing bubble is really a land price bubble not a house bubble. Houses/improvements to land do not appreciate but land value does. This is due to the fact that the improvements can be increased indefinitely while the supply of land is relatively fixed. When "housing" prices fall it is speculative land prices that fall. Modern economists refuse to treat land separately from capital. Why is that?
americanplanninginc (May 7, 2008 at 5:04 am)
I LOVE THIS VIDEO.ARTHUR ROBINSON
warrenbraden (May 1, 2008 at 8:39 am)
I LOVE IT LOVE IT! Love to see Californias lose there homes! GO HOME get out of Nevada! You have done nothing but drive up living coast and destroy the landscape!
yogeedogee (March 28, 2008 at 6:23 am)
It turns out that we really did not need all those Mexican construction workers after all . . .
FARTYPANTS30 (February 9, 2008 at 7:51 am)
Excellent presentation. I'm a Californian resident who recently graduated college. I have been looking for a full time IT job since December 2006. This video is spot on! I believe no one takes this drop in the California real estate "bubble burst" than fresh college graduates. Entry level information technology job offers are almost non-existent here in Sonoma County. Real estate prices are still plummeting. Foreclosures are at new record highs. Mortgage interest rate are sky rocketing.

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