Housing Bubble in India !!!

Joginder Singh, IPS (Retd.) Former Director, CBI, India
By end 2006 , the contours of housing bubble in US were quite clear .It was caused by among other factors sale of houses to persons who could not afford to pay the installments .Of course the financiers and bankers invented exotic financial vehicles , which they sold to each other as securities and made fat commissions , while the banks etc collapsed .
               In India the emphasis is more on upper range housing ( every day newspapers carry desperate but attractive ads) , fair amount is invested as speculation .It brought in sudden riches to farmers near cities and politicians robbing or making deals and big profits ,We read about the scandals everyday .
               Is the nemesis now reaching the land and housing sector in India too .It will affect all sectors of economy and even affect law and order situation .Gurgaon has nearly a 1000 property agents .
               Thos who have studied economics ( not pauvre moi) and dealt with such matters in IAS and economic services like Income Tax etc may throw light on this problem.