Monday, June 06, 2005

Construction boon

One of the little appreciated benefits of the real estate and construction boom of recent years is the abundance of porta potties available when you go out to walk, run or otherwise move about in suburban areas. This can be important for those of us who both do that and have feisty bladders.

But I have to be realistic about this. After all, as we all know, the boom in housing (and, therefore, the porta potty presence) is very interest-rate sensitive and, at present, we're at an unprecedented moment along the yield curve, with China and other emerging markets buying huge amounts of long-denominated US sovereign debt, making money and housing cheap for us. So what happens when China and South Korea start snapping up Euros, mortgage rates shoot up, the ARM-leveraged vacation home speculators get flushed out, and the bubbles bursts? Then where will I pee? Perhaps vacant, undeveloped lots will be left to reforest themselves, giving those in need desperately needed cover.

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