This post is in response to the question, “Are we currently in an economic bubble?” by 
I am not an expert on the intricacies of the economy, but I have reason to believe that we are in the midst of an economic bubble right now. My reason centers around the current price inflation of so many products across various sectors. For example - as I am sure you are already aware of - the cost of housing is astronomical right now. I believe this is partly because of the increase in extra money that many people have right now. My prediction is that the stimulus grants that our government has been handing out over the past year and a half have played a part in this. All of a sudden, people have extra income that they are more willing to spend because they did not earn it. The risk to reward factor has been distorted. Another reason for the current high cost of housing could be the mass migration of people from the expensive coastal cities to our (previously affordable) Midwestern/Southern cities. I have seen people moving as a direct result of COVID and the overreaching of the liberal local governments in the coastal cities. People like their freedom, so they are coming here to maintain it.
Another reason that I believe we are in the midst of an economic bubble is the cost of products like lumber and gasoline. The prices of these two items, for example, are higher than they have been in years. The inflation of the market will have to come back down eventually. I am not sure how this will happen or when. When it does happen, I hope that the government will not resort to printing more money as a solution. We have to ride the waves of the economy and allow the market to naturally evolve.
