[lbo-talk] Subprime crisis - overaccumulation?

Seth Ackerman sethackerman1 at verizon.net
Fri Jan 18 09:38:24 PST 2008


Doug Henwood wrote:


>>is Europe having a sub-prime crisis,
>>too ?
>>
>>
>
>Not the continent. The UK looks like it may have a housing bust though.
>
>

Doug, one thing that stunned me the other day - you should look into this - in the back of the latest OECD Economic Outlook, they have a table showing price-to-rent ratios as a percentage of long-run historical averages. To my complete surprise, many of the continental countries had much higher figures than the US! And not just the countries you'd expect (Spain, Ireland) but even France. What's up with that?

Seth



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