By contrast, rising asset prices tend to be seen, within limits, as a cause to buy.
"These include some ongoing buildup of financial imbalances and rising asset prices".
In good times more lending and rising asset values mean that booms feed on themselves.
For example, rising asset prices can generate more demand, not less.
Loan growth was strong and defaults were rare, thanks to booming economies and rising asset prices.
The Fed insists that it is not its job to respond to rising asset prices.
It decided that it did not need to worry itself over rising asset prices.
Rising asset prices encourage people to borrow money and buy assets, most obviously in the housing market.
In the years prior to the crisis, households accumulated a lot of debt, which was offset by rising asset prices.
For much of the past 25 years the industry prospered as rising asset prices drove up its fees.
In addition, rising asset prices have pushed up receipts from taxes on capital gains and housing sales.
