No second chance
Jordan Eliseo, Chief Economist of ABC Bullion, asked me a question about historical house prices this week, which caused me to pull up on old Macquarie Uni paper from their Department of Economics (Abelson/Cheung).
Their figures were carefully pulled together from various sources, including Census data, the REIA, CBA, the Productivity Commission, Applied Economics, the Department of Housing, the Department of Land, VG, and the Housing Industry Association (HIA).
Here are their median house prices by Australian capital city from 1970 to 2003.
And median unit prices for the same period.
I was reminded of a well-known and logically argued article by The Money Illusion's incomparable Scott Sumner 'Bubblemongers don't get a second chance'.
Take a read of it, carefully.