What the Crisis in Venezuela Teaches us about U.S. Real Estate Markets
A recent USA Today article dated May 26, 2016 reports on the difficult situation in the country of Venezuela. While reading this article it made me think about some of the cities in the USA. I started thinking about the similarities in the way U.S. Real Estate Markets evolve and transition within each individual cities real estate cycle and what causes markets to transition from one cycle to the next.
The article focuses on the problems companies are having in Venezuela due to the “out-of-control inflation”. The main issue in the country of Venezuela is that it’s dependent on one natural resource industry and the collapse in the pricing of that natural resource is creating a paralyzing situation, causing strife in the population and political upheaval.
See the video below: