Despite its appearance in a few booming areas like New York and San Francisco, the housing market is actually not pulling its weight in the U.S. economy, according to an article in TheUpshot, a New York Times publication.
Though it has risen slightly over the past two years, housing activity still represents just 3.1 percent of the U.S.’s gross domestic product, lower than anytime in the last 60 years, according to the U.S. Bureau of Economic Analysis.
Builders, responding to a plummeting rate of household formation and the consequent weak demand, aren’t building homes at the rate they used to and are leaving that typically big part of the economy relatively silent, TheUpshot reported.
Source: New York Times
