For some time I have been arguing that real estate prices are rising not because of a recovery in the market but because of inflationary pressures by the Federal Reserve to artificially boost them - a bubble. The Administration cannot afford to have a depressed real estate market because it was the real estate market that tanked the economy in the first place and a failure of that market to recover would illustrate quite plainly the failure of the Obama Administration policies. More than that, the RE crisis has allowed government to make real, fundamental changes in the way America operates, has allowed the federal government to intrude in what has traditionally been a local industry.
