Housing Hyperinflation

Today’s Wall Street Journal features an opinion piece by David Ranson entitled “Is Housing Undervalued?” The author believes that “real estate prices behave like the prices of other tangible assets such as commodities.” He goes on to state that:

“The rise in housing prices is one more symptom or early warning of the inflation of which the Fed (rightly) is so fearful.”

Since Ranson doesn’t come to a direct conclusion is his rambling piece, allow me to interpret: This means that we are living in hyperinflation and the FOMC has been asleep at the wheel in not jacking up interest rates to early 1980s levels.

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