Finance, Society and Sustainability by Nick Silver

Author:Nick Silver
Language: eng
Format: epub
Publisher: Palgrave Macmillan UK, London

Limiting access to finance: As the wealth of the country becomes increasingly concentrated, those with access to cheap finance are increasingly the property-owning class and high wage earners. Inequality increases as the wealthy have the ability to borrow to purchase assets, whereas the poor cannot.

Skewing the economy: By lending into the property sector, banks are ensuring that this increases the activity in this sector. The price is important; for example, if a house sells for £100,000 and the estate agent, gets, say 1%, then the agent’s fee is £1,000. But if a property sells for £1 million, the fee is £10,000. This means that high house prices cause more economic activity to be property related, but without increasing the supply of housing to the population.

Download

Copyright Disclaimer:
This site does not store any files on its server. We only index and link to content provided by other sites. Please contact the content providers to delete copyright contents if any and email us, we'll remove relevant links or contents immediately.