Could Housing Crash the Global Economy? | Richard Wolff vs. David Woo

As central banks hike interest rates and the global economy struggles, we’re asking: could a housing market crunch cause a global economic crash? And if, so, how different might it be to the Great Recession of 2008? Watch former Wall Street strategist David Woo and American Marxian economist Richard Wolff go head-to-head to debate this key financial topic.

CHAPTERS:
0:00 - Could housing crash the global economy?
1:08 - Who is Richard Wolff? 
1:34 - Who is David Woo? 
2:41 - Richard Wolff - Is a housing crash coming?
3:53 - David Woo - housing market crash
4:20 - What increased housing prices?
4:50 - Price to income ratio 2022
5:00 - 2022 housing crash vs 2008 recession 
5:50 - Can the economy survive a housing crash?
7:15 - What is rising inflation and interest rates?
9:00 - Are Russian sanctions helping? 
9:57 - living wage crisis 2022
12:04 - Are central banks controlling inflation? 
15:20 - Employers keep raising prices 
19:20 - Is Capitalism to blame? 
21:25 - Will interest rates drop?
26:50 - Which Markets are most vulnerable? 
27:40 - How unemployment rates affect home prices
28:40 - How the energy crisis affects home prices
31:35 - What is the future of the global economy? 

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[Capitaltrading]

A very interesting comment from James Sydney below: "Given the current economic climate, is it better to invest in real estate or stocks?" What do you think?

[skaz]

As this system continues to unravel, people like Professor Wolff will become increasingly relevant. This has been true for the last decade and a half or so and is continuing as we speak.

[reginaldmorton]

The look Prof Wolff made when the guy said we don't have a leverage problem, was priceless. 😆

[kd-mimi]

prof wolff always a great guest on any program

[mkl_]

Dave blames survival payments to people as he gaslights about cash give out by the fed to wealthy fat cats and predatory corporations. Victim blaming doesn’t work any more.

[putraceface]

Professor Wolff's face during the final segment was priceless. I don't think he could believe he was hearing a somewhat mainstream analyst give that type of analysis.

[jann]

Is Mr. Wu hallucinating or just doesn’t have a clue about Main Street ?

Labor participation is low since we have gigs not jobs in the US.

Professor Wolff nailed it; Collateral damage !!
Inflation is created by Corporations and employees are the ones who pay.

[chantellemodisane]

Capitalising on human basic needs/right should be an economic sin

[atomicstyle]

What about private equity firms buying up single family homes? The goal is to turning everything into basically a subscription aka reoccurring fees in the form of rent. It’s no longer enough for capital to make money off the outright sale of goods.

[mkl_]

Entitled rich ppl see a correction; me, I’m looking at a tent.

[chantellemodisane]

The economist is right. Whether interest rates decrease or not, it won’t fix the current inflation and recession

[spotthedogg]

How’s that red wave Mr. Woo? I think that prediction mirrors the accuracy of a lot of his views.

[helengarrett]

Either housing or food can do us in. Working folks have been teetering on the verge of a personal economic crash for a very long time. We can't afford a home and we can't afford a car repair either. Anyone look at the price of veterinarian fees lately? Nothing is affordable right now. Add a recession to all this pain and I shudder at what is coming. January is coming. My lease will be over then and I have already been told that a rent increase is coming. I already pay 50% of my income on rent. Buy a home? Ha! I can't afford to buy Thanksgiving dinner fixing for four.

[ridethecurve]

I live nicely in my cardboard box hus, and it's all mine. No loans, no taxes, no maintenance! ALL MINE!

[garciac]

200, 000 dollar house loses 20% is 40, 000 in losses ask yourself can you imagine you current home losing
That in value? You just gave yourself the answer to the question the housing market can definitely crash.

[ranjitsumati]

Isn't it high Time, the Profitiers (including owners and realtors) making outregeous money from houses which way far Overpriced then what the houses even worth on the reasonable upper range and real VALUE of structures and housing marke MUST crash.

[petershindler]

The metrics change and they can change very very fast.

[josedipadua]

Central banker’s will destroyed itself and meet their evil demised and will be abolished forever Power to the People’s🗽

[jamessydney]

Hard to tell if this is the right platform for this. But ill try anyways as this is still considered business. Given the present conditions, is it better to invest
into Real Estates or into Stocks? Which would yield better output.

[iart]

Great analysis. Corporate media report nothing on these issues.