Quote from: CoinsCoinsEverywhere on July 17, 2014, 03:25:15 PM

Quote from: boumalo on July 17, 2014, 09:49:57 AM

Market are still the most efficient and when the State intervenes the prices go up, the service quality and innovation go down

I mostly agree. However, there are times when free markets get out of control (bubbles and crashes), and some limited state intervention may be required to let a little air out of bubbles and "soften the landing" when markets crash. Like a lot of people, I think governments went way overboard after the 2008/9 recession, but I do think that some kind of response was necessary during the crisis to keep things from spiraling further out of control.

The real estate bubble has been created by the low interests rates from the FED in 2000s and they blew more air into the bubble in recent years with 0% interest rates which means the crash will be bigger and more painful that it would have been if only they allow it to happen to destroy the bad debt