Using the 4-Quadrant Model to assess the impact of other changes. What happens if Construction costs rise or the supply schedule shifts? Suppose depreciation speeds up (functional obsolescence dictates shorter life spans of buildings)? How to interpret owner occupied space (e.g. Single Family Housing)? Zero (or negative) population and labor force growth in: Japan, Germany, Italy, Spain...? Increasing use of the Internet for retail shopping? Expanded availability of (subprime) mortgage credit to households previously ineligible? Continued global saving glut from growth in Asia - where savings rates are 20%+ What are real estate cycles? Truly independent oscillations or just reactions to the economy. Cycles vary with Property type. Cycles are related to broader capital markets. Secular trend: growth rates of the stock (construction) slow as economy matures. Secular trend: Prices adjusted for inflation rise over time?