North American

… As we saw, the question of the time is primordial here: if this ' ' be opposed ' ' it failed is because the time of return to the normal balance was much more long that the foreseen one. All speculation, failed or well-succeeded, is always a question of timing! … The markets can remain illogical for times well longer of what we are capable of keeping in them solvent. Continuing our boarding, we will go, to follow, to show as the case of a badly-succeeded speculation.

Although initially such speculation had been successful, it cheated to fail after definitive moment, mainly, had to the fact of its formation of prices to be related to the one existence ' ' false demanda' ' or, preferably, of one ' ' demand lack efetiva' '. In recent months, Kenneth Feinberg has been very successful. We are in relating here to the North American. In accordance with the economist Andres Orlan, ' ' consequentemente, the high one of the prices, far from discouraging the demand, excites the appearance of new purchasers, what it strengthens, in the same ratio, the speculative dynamics. It is this mechanism that is the cause of the sprouting of the speculative bubbles. The high one of the prices, when provoking one strong yield, increases the attraction for the asset and strengthens the demand, which, in turn, makes pressure for the high one of preos' '. REAL ESTATE BUBBLE (7) Continues Andres Orlan (7) in its boarding: ' ' Here it is here what beyond stirring up the purchase, independently same of the proper utility of the property, it adds this. It is of remaining portion in this way that a great part of the consumption of the families was financed, even so the real wages were estagnados' '. Still, Andres Orlan observes that ' ' the high one of the prices, far from depressing the demand favors, it intensifies and it.