The End of the Future - National Review Online →

This analysis suggests an explanation for the strange way the technology bubble of the 1990s gave rise to the real-estate bubble of the 2000s. After betting heavily on technology growth that did not materialize, investors tried to achieve the needed double-digit returns through massive leverage in seemingly safe real-estate investments. This did not work either, because a major reason for the bubble in real estate turned out to be the same as the reason for the bubble in technology: a mistaken but nearly universal background assumption about easy progress. Without fundamental gains in productivity (presumably driven by technology), real-estate values could not go up forever. Leverage is not a substitute for scientific progress.