Skyscrapers 'linked with impending financial crashes' (BBC) [View all]
There is an "unhealthy correlation" between the building of skyscrapers and subsequent financial crashes, according to Barclays Capital.
Examples include the Empire State building, built as the Great Depression was under way, and the current world's tallest, the Burj Khalifa, built just before Dubai almost went bust.
China is currently the biggest builder of skyscrapers, the bank said.
India also has 14 skyscrapers under construction.
"Often the world's tallest buildings are simply the edifice of a broader skyscraper building boom, reflecting a widespread misallocation of capital and an impending economic correction," Barclays Capital analysts said.
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more: http://www.bbc.co.uk/news/business-16494013
Putting up a building that's taller than anyone else's is a "misallocation of capital" ? Who knew ?
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