Friday, October 14, 2005

The Price Decline Cycle

1 comment:

  1. The diagram also shows that a falling real estate market is a 'self fullfilling prohecy' the domimoes in will continue to fall, and either two things will happen; a panic that causes a total collapse, or a slow and steady decline that will result in a local economy being in a recessionary envirionment for years. In either case, the outcome will result in a recession- as the consumer will have to drastically reduce their spending.