This short post is a random musing on the two faces of the free-market economy. Not rocket science, it is just an attempt to present/restate a common man's perspective on the system. Nobody is being judged, as it is understood that everyone is working within the system, which seems to be the best we have at this time (the alternatives having been proved much worse).
It is a simple comparison between two of the primary pillars of the free-market economy: the stock markets and the real estate markets, which are said to be complementary to each other. Or rather, it is a comparison of the ultimate effects these two markets have on the lives of the common man/woman.
The point being sought to be made is that while the stock market is a positive influence on the lives of ordinary people, in that it stimulates the growth of industries, thus creating jobs and other opportunities for people to earn livelihoods, the real estate market on the other hand works in the exact opposite way, increasing the burden on people by increasing costs of a basic amenity like shelter. In the end, the common man gets a job, but spends most of his earnings in rent or in loan/mortgage payments for an over-priced own home.
Thus, from the layman's perspective, these two 'markets' are not complementary, but rather opposites of each other, working at cross-purposes. Like in a dog-race, where the dogs have to run harder (and in circles) chasing a moving bone, an ever-costlier home has to be chased by people running the race of daily life...
It is a simple comparison between two of the primary pillars of the free-market economy: the stock markets and the real estate markets, which are said to be complementary to each other. Or rather, it is a comparison of the ultimate effects these two markets have on the lives of the common man/woman.
The point being sought to be made is that while the stock market is a positive influence on the lives of ordinary people, in that it stimulates the growth of industries, thus creating jobs and other opportunities for people to earn livelihoods, the real estate market on the other hand works in the exact opposite way, increasing the burden on people by increasing costs of a basic amenity like shelter. In the end, the common man gets a job, but spends most of his earnings in rent or in loan/mortgage payments for an over-priced own home.
Thus, from the layman's perspective, these two 'markets' are not complementary, but rather opposites of each other, working at cross-purposes. Like in a dog-race, where the dogs have to run harder (and in circles) chasing a moving bone, an ever-costlier home has to be chased by people running the race of daily life...