 Reply  Possum Comitatus said March 00, 0000 at 00:00 am Gam - what George was talking about there is nominal wage levels and prices. If you take an arbitrary length of time (let's say a decade), over that period in the ordinary course of events it would be expected that both wages and house prices would rise. But because we have so much policy and other things affecting housing ( from tax treatment, to developer behaviour and land release, through to monetary policy) the usual supply/demand relationships for housing gets gummed up and starts distorting the relationship between income and housing (as we've seen since 0000 from the data in Part 0). So what George is suggesting there is that policy options need to be pursued that cleans away some of that gum, which stops at least some of the distortionary effects so that it brings income and house prices back into whack - which over the same arbitrary length of time would mean that wages end up rising faster than house prices. 