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The salient feature of the graph is that it took a year for the volumes to collapse by 50% but seven years after that for the price level to go down from about 170 to about 100, where it hit maximum volume.

Another feature of the graph is that it goes mostly counter-clockwise [as expected, if you think about it: volume increase -> price growth -> volume decrease -> price decrease] and that when it goes up or to the left it can do it straight, and [the first point I raised] quite fast in the case of going left [rapid contraction at constant price, halting expansion and price decline, sustained price growth at maximum capacity].

"It's the statue, man, The Statue."

by Migeru (migeru at eurotrib dot com) on Sun Mar 4th, 2007 at 04:13:37 AM EST
[ Parent ]
to me the salient point is it's pretty darn expensive today to live in Paris or London (see Jerome's charts below).  It's interesting that his affordability index shows things are much more affordable in the States.  That has usually seemed true to me.  When I shop for groceries or clothes, it always seems to me the prices are far better in the US--not very scientific I admit.
by wchurchill on Sun Mar 4th, 2007 at 02:29:22 PM EST
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