Report
Patrick Artus

A social crisis due to asset price bubbles in place of an economic or debt crisis?

To stave off an economic crisis ( huge rise in unemployment and in corporate bankruptcies), OECD countries in 2020 are implementing a highly expansionary fiscal policy. To stave off a debt crisis (financing difficulties, rising interest rates), they are implementing an ultra-expansionary monetary policy. But it must not be forgotten that if the highly expansionary monetary policy leads to asset price bubbles (equities, real estate), a social crisis may ensue. In particular, real estate bubbles increase housing costs and make it even harder for middle classes to access housing in cities.
Provider
Natixis
Natixis

Based across the world’s leading financial centers, Natixis CIB Research offers an integrated view of the markets. The team provides support to inform Natixis clients’ investment and hedging decisions across all asset classes.

 

Analysts
Patrick Artus

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