The Post-COVID Economy Will Be Very Different From The Pre-Pandemic Bubble Economy

Posted by freedomforall 4 months, 3 weeks ago to Business
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Consider just one unsustainable sector: commercial real estate. Thanks to decades of overbuilding caused by the Federal Reserve's super-low interest rates, there is too much commercial space in the U.S.: too much retail space, too much office space, too much self-storage, etc. There are also too many new buildings on soon-to-be empty college campuses and too many hotels, etc.
The decimation of retailers has been underway for the past four years. The chart below is from 2017, and the store closures have only accelerated.

The U.S. has between 8 and 10 times more retail space than other developed economies. That suggests 50% or more of all the commercial retail space in America is superfluous.

Maybe "shareholder value" has been the greatest con in history, a PR cover story for the greatest rise in wealth and power inequality in American history.
SOURCE URL: http://charleshughsmith.blogspot.com/2020/06/the-post-covid-economy-will-be-very.html


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  • Posted by Lucky 4 months, 3 weeks ago
    Yes there is a definite trend away from the centers to on-line.
    The smashing of stores and looting will speed up the trend.
    A trend that benefits the likes of Amazon and China-based on-line suppliers.
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