Comments on: 2009: SUVs and Real Estate?

By: David Miller

David Miller — Thu, 25 Dec 2008 18:11:22 +0000

Great to hear Sean. I think something on the order of 30% of US homes have no mortgages. Glad to hear of the new habits… I hope you are representative of more and more people.

All the best for 2009.

By: Sean Creighton

Sean Creighton — Thu, 25 Dec 2008 15:50:29 +0000

Hey David, I was just looking at refinancing when I took a break to read the CCG blogs. We’re trying to go from 30 year fixed (26 years left on it) to 15 year fixed. Forget the second home and old habits, the new habit is to take advantage of these low offerings to become mortgage free!

Happy Holidays!

By: Swordsman

Swordsman — Thu, 25 Dec 2008 01:57:00 +0000

Yes, we’ll likely go back into our old spending habits and this is why the Free Market (TM) is not the end-all be-all of economics. The Free Market is sometimes wrong.

Also, SUV’s have had plenty of regulatory breaks over the years to make them even more attractive.

We have been here once before, remember, in the late 1970s, when the automobile industry was cratering because they built lousy ginormous barges. SUV’s are different only in height and weight to a 1978 Dodge Royal Monaco Brougham 4 door sedan.

If we allow the Free Market to decide without regulation what automobile manufacturers make once again, we will face the same crisis again in probably about five to ten years.

The vaunted Invisible Hand has been promoted by people who never read nor understood Adam Smith.

By: Mike L

Mike L — Wed, 24 Dec 2008 22:09:40 +0000

Indeed, “It’s an ill wind that blows nobody any good.”

Has the US Government topped up the Strategic Petroleum Reserve, or is that still suspended (as ordered on May 19, 2008)?