Question by andrewwinters74: Why does the CPI indicate that housing costs are rising when all data shows house prices are falling?
Wouldn’t it stand to reason that with house prices falling so dramatically, rent (including imputed rent to homeowners) must also be falling? And wouldn’t this fall balance out or even outweigh the dramatic rise in food, energy costs, etc. of late? (because housing costs are the largest portion of people’s budgets). If true, are the current inflation fears overstated? Thanks in advance.
Best answer:
Answer by I , a Bolshevik
The costs of housing are linked to the costs of raw materials, wages, and the costs of money.US economy is on the verge of bankruptcy, it means that its too risky to invest on anything.
That´s why Big investors are investing in speculative markets as food, oil, etc.This will make a world food crisis .
As you can understand this is good for us, Bolsheviks, as we can stir up people all over the world easily( including US people).
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