A window of opportunity?

If we needed a reminder that financial markets are driven by greed and fear rather than rationality, the last couple of years have provided it. But amongst the wreckage of broken Governments, bankrupcy and unemployment, I wonder whether there's a ray of hope in the housing market?

I mean by that, not (please God) that it's about to take off again into unsustainable 'growth'. Rather that it might just stagnate and drift gradually lower relative to income, making it more affordable for those starting off and less of a millstone for the middle aged. Imagine the spending power released by say, a gradual halving of values in real terms over say 20 years? Imagine the relief of not spending a lifetime shackled to a crippling mortgage? A home becomes a home rather than an 'investment'. And a whole industry of lawyers, agents and other middle-men have to find more useful things to do than encourage us to 'trade up'.

Ah, but what about those of us who thought we were sitting on (in) a nice fat nest-egg? Well look at it this way. We're just giving back what we never really earned. And wouldn't you prefer your children to be able to afford to live a life, paying their way, rather than being dependent on inheriting your (good) fortune, or never even having the chance that you had?

Another extinction event for mammoths?

On the same day that British Gas announces nicely expanded profits (at a time of falling raw material prices), a hospital trust is found to have dramatically failed it's A&E customers. Another no-score draw then, in the private vs public sector championship.

If profit motivated behemoths supplying essential services (like energy or banking or telecoms) might seem tempted to exploit their market domination, public service behemoths supplying essential services (like health care) seem just as likely to fail to provide good service. Perhaps the common factor is scale. Smaller outfits find it less easy to achieve and exploit market dominance or perpetuate catstrophic incompetence. Maybe E F Schumacher was right after all - small(er) is not only beautiful, but more efficient, the disbenefits (to consumers) of massive scale outweighing the benefits.

Climate change (or a meteor strike) may have seen off the last lot of behemoths. So what will it take this time?

What if...

... politicians were nice to each other during election campaigns? Tried to see the sunny side. Forgave weaknesses and failings. Mr Cameron empathises with Mr Brown's discomfort at being branded as a bully. My Brown empathises with Mr Cameron's disadvantageously narrow Eton education. Both empathise with the Lib Dem's excrutiatingly soporiphic obligation to be reasonable and constructive. (After you .....; Oh, after you, please.......)

Would this be a precedent for commercial kindness? Banks telling customers when their life savings are only earning 0.1%. Garages telling customers that their car has passed it's MOT without any need for repair.

Well, you never can tell. But in the meantime, do make sure you lock the front door at night. Sweetdreams......