As the crisis unfolded, it became a negative financial feedback loop in areas which had higher percentages of this type of job creation. Construction slowed down, the construction worker lost his position, which affected his ability to repay, which hurt his...
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...ays benefitted by emigration and as a result had a positive growth rate. An even quicker fix is to stimulate foreign ownership of US real estate and loosen immigration standards and legalize many who are already here, have no intention of going back, and outside of much of the flow of normal US society. Both of these would quickly increase the pool of buyers, increase population and more quickly speed absorption. It would also expand the tax base. Both of these are politically thorny but effective methods for altering the mathematical relationship.
After all, the supply and demand equation is just two lines, and changing the level of family formation and legal population would rapidly alter the demand side of that equation. It was also have the greatest impact across the south, from Florida to California in many of the hardest hit communities of the country.
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