First chart: Income and House prices
Second chart: Canada’s Household Debt to GDP Ratio
Study and compare.
Note cause of our bubble.
Any more questions?
[sources: First Chart from Alexandre Pestov’s ‘The Elusive Canadian Housing Bubble’, Summer 2010 edition, July 2010; Second Chart adapted from one in a letter from David Rosenberg, and previously headlined 7 May 2010]