When home prices fell when recession hit in 2007, demand did not rise immediately. Generate Explanations Why might demand for housing stay flat at first even when prices fall sharply?

Global economic activity is being frozen to stem the coronavirus pandemic. Yet implications for asset prices will depend on the cumulative impact of the growth shortfall over time. We believe that policy actions to cushion the impact of the virus shock are nothing short of a revolution. Execution is a risk, but if successful, the cumulative impact of the virus even under the currently most bearish forecasts would be well below that seen in the wake of the 2008 global financial crisis (GFC) — despite the historic scale of the initial shock.