The Nick Hanauer Problem: Why the recovery is going so slowly.

Changes in Mean and Median Net Worth.
Changes in Mean and Median Net Worth.

Invictus over at the Big Picture Blog had a chart rich article last month called “Bill Gates walks out of a bar – Of Means & Medians” that explored some of the causes for the slow economic recovery in the US.

What really caught my attention was how skewed the distribution of wealth is with the mean being 6.5X the median. How do we keep the peasants from revolting in these conditions? Or more realistically because 90% of us are not in the top 10% why do we not revolt?

With the Mean Net Worth 6.5x larger than the Median, the distribution in very skewed.
With the Mean Net Worth 6.5x higher than the Median, the distribution in very skewed.

This means that the economy is suffering from the Nick Hanauer problem; the wealthy aren’t Continue reading The Nick Hanauer Problem: Why the recovery is going so slowly.

Apartment Financing Hits An Air Pocket in Latest NMHC Survey

Apartment Building Investment Lending Conditions July 2015

The National Multifamily Housing Council’s NMHC Quarterly Survey is out now and three of the four categories held fairly steady but the availability of  debt financing dropped twenty five points from sixty to thirty five. A reading below fifty indicates worsening conditions and the report on the survey said that with Continue reading Apartment Financing Hits An Air Pocket in Latest NMHC Survey