As I’ve said elsewhere, some people believe the share market is the best economic indicator, but it’s not. You won’t have a recession or depression if the real estate market hasn’t burst first. It had in the mid-1920s: it hadn’t in October 1987.

So, what is the best leading economic indicator? The real estate market, of course. Credit is another good one, because it’s inextricably linked to real estate.

This fact has not been welcomed within mainstream nor libertarian economic circles because the study of economics was recast from classical to neo-classical economics primarily to conceal that the role of land is critical to understanding in what direction the economy is headed.

And right now, it’s certainly still headed down.

Proof can be found in the excellent graphs at researcher Philip Soos’ website.

Soos’ new site is a powerful exposition of mainstream economic’s sins of omission: of the corruption into which mainstream economics has been permitted to descend.

Economies will continue to lurch from disaster to disaster until they reincorporate land and land rent into their primary considerations, as once it was.  To ignore the facts does not change the facts.