According to an October 19 Bloomberg article, Greenspan said:
"Housing price bubbles presuppose an ability of market participants
to trade properties as they speculate about the future," and the
expense and difficulty of moving "are significant impediments to
speculative trading and an important restraint on the development of
housing price bubbles,"
I wonder how he would describe the Japanese real estate prices of the late 1980s.
It might not be a coincidence that the dollar has dropped against gold and other currencies the past couple of days.
I’m not yet willing to bet money that a significant housing bubble is developing in the U.S., but it wouldn’t take too much for me to decide it’s time for such a bet.