A tale of two #housing markets:
Between 1970-2022, house prices rose relative to other prices by around 170% in America but 440% in the UK.
So one argument for why the UK has a problem with #investment (and the USA doesn't) is that it is entirely rational given the capital gains in your own house are #tax free to invest in a bigger home.
We might then link this to the UK's #productivitypuzzle; productive investment is being sucked into the housing market... with dire social consequences!
Emeritus Prof Christopher May /
npub1hr…f2ktj
2023-12-15 06:27:47
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npub1hr0x0gm9ksmvuvqwkyzfjuczv9pln83axuftxfhnq2maday69ypqtf2ktjPublished at
2023-12-15 06:27:47Event JSON
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