From the BBC:
Mr Carney will say: "When we look at domestic risk, the biggest risk to financial stability and therefore to the durability of the expansion [of the economy] those risks centre in the housing market."
Mr Carney says the fundamental problem was a shortage of homes - and the Bank of England had no solution to that...
He will say in the interview: "There are not sufficient houses built in the UK. To go back to Canada, there are half as many people in Canada as in the UK, twice as many houses are built every year in Canada as in the UK and we can't influence that.
So as a result, there was no house price bubble in Canada..?
From CBC News:
Vancouver ranks second only to Hong Kong in having the least affordable housing, according to Demographia's 10th annual survey of 360 housing markets in nine Western countries.
The survey divided median housing prices in Australia, Canada, Hong Kong, Ireland, Japan, New Zealand, Singapore, the U.K. and the U.S. against median gross household income to come up with its ratings.
Under this rating system, homes in Vancouver cost 10 times median income compared with 15 times income in Hong Kong. Three times median income is considered affordable.
Read the full Demographia report.
Sunday, 18 May 2014
From the BBC:
My latest blogpost: Carney's Canada comedyTweet this! Posted by Mark Wadsworth at 09:31