Dr. Peter Linneman, Leading Economist & Former Wharton Professor

Willy welcomes Peter Linneman. He is the principal of Linneman Associates, KL, Realty, and American Land Fund. Having been a member of the Wharton School of Business’s faculty at the University of Pennsylvania for 32 years, he is the Albert Sussman Emeritus Professor of Real Estate, Finance, and Business Public Policy and is the co-founding editor of The Wharton Real Estate Review, publishing 80 articles. He is cited as one of the 25 Most Influential People in Real Estate by Realtor Magazine and one of the 100 Most Powerful People in New York Real estate by the New York Observer. He is a highly sought-after speaker and author, with his quarterly research, The Linneman Letter, the most respected publication in real estate for the past 11 years. The Walker Webcast begins with Peter emphasizing inflation is transitory with supply lagging demand due to 23% of the workforce collecting unemployment insurance. Also, industrial output is only 3% in Q1. Expanding output would be profitable, but most companies are not following through. Oil prices would normalize when production increases. The US remains the largest producer of oil in the world, and the situation of $260 a barrel is unlikely because supply is predicted to adjust. Besides, the US exports weapons and food, which Southeast Asian countries will highly favor due to tensions with China. Peter advises giving the supply 3-4 years of adjustment. The Federal Reserve System would not have control over long-term interest rates as $5 trillion in cash is set aside. He describes how debt should not be the main concern but “getting your money’s worth” and continues to say how federal debt is largely misunderstood. The higher the debt is, the bigger the political problems are because debt is owed by US citizens individually, not the state. Tune in to this new episode of the Walker Webcast — The Best Hour in CRE with Peter Linneman, Leading Economist, Former Wharton Professor. ▶️ Key Points In The Webcast: 00:35 Willy welcomes Peter Linneman 03:21 Inflation is transitory, and supply lags demand 08:02 Decrease in oil prices due to supply adjustment 10:33 The US posed to export more weapons, oil, and food 14:21 Why the Fed has no control over long-term interest rates 20:19 Peter’s opinion on national debt concerns 26:13 Significant growth exists despite COVID-19 32:06 Stress tests and fear holding banks back from lending 34:33 Lowering debt to cope with interest 38:14 The strength of the US dollar 41:20 Returning to office and productivity vs. profit 45:29 Generation gap and what inflation means in real estate 49:45 The trend of moving to coastal gateway cities 52:57 The economic state under Joe Biden

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