Wednesday, May 13, 2009

The Dumbest Inflation Explanation I've Ever Heard

This is - by far - one of the stupidest things I've ever read.  This gem came in a monthly e-zine sent out by a real estate agent who got her hooks into me after the housing bubble started to pop, smelling fresh virgin real estate blood in the waters.  Needless to say, we're still renting - and buying commodities.

For your amusement - yes this is a real copy/paste.  I used initials to protect the innocent.

Dear Brett,

Fight inflation, buy a home! 

CJ heard someone say that recently. Makes a lot of sense to us! Every time someone buys a home, potentially hundreds of people get paid. That has a huge impact on the economy. Especially is this so in new construction. So, while it seems the government is being generous in giving away thousands of dollars in tax credits to people who buy homes this year, the government sees the tax credits as a sound investment! The economy gets back far more than the tax credit when you buy a home. AND, more home purchases might mean less government borrowing. High borrowing may fuel inflation. So, who's the next person you know who wants to buy a home? Please call us with their name and number and do your part to assist the economy. Thanks.


Brett again...that was me smashing my head into the keyboard...3 times

For a more insightful look into inflation, check out Bud Conrad's article Battle of the Flations.


fbmk3 said...

Wow. This person's chain of "logic" has more open holes than cheesecloth. I don't think I'll be alone when I say that what she wrote makes absolutely no sense.

It makes me think of bewilderment I experienced listening to a certain Charlie Gibson interview.

Brett Owens said...

Nice use of Charlie Gibson! Haven't heard his # called in awhile.

In Debt We Trust said...

Lol. The tragic thing is the broker's statement is in line w/the Congressional mission.

If you want to read what some real estate cynics have to say:

Although they are focused on NYC real estate, the authors and commentators will talk about equities and bond mkts too. Bonus pts b/c they are also real estate brokers admitting the truth.

Brett Owens said...

Good stuff, thanks for this resource.

Most Popular Articles This Month