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House prices to soar by 16%

So screams the main headline on the front page of today’s Daily Express, over an article quoting a study by a think-tank called the “Centre for ­Economics and Business Research”. Reading down the article, it is evident that this is attributable to what is referred to as loose monetary policy – in other words inflation. The article goes on to assure readers that it is not to be confused with boom-and-bust, but we would suggest that is exactly what is being predicted. This is the beginning of the process that will set in train the next boom-bust cycle, ending with another collapse in the mid-2020s.

The strange thing is that the tone of the article indicates satisfaction with this state of affairs. A tone of indignation would prevail if the prediction was of a similar rise in the prices of food or petrol. This is a fine example of cognitive dissonance.