Posts Tagged ‘skyscraper curse’

On our latest episode we are joined by Dr. Mark Thornton of the Mises Institute for a second appearance.  Today we discuss his great work on what is known as The Skyscraper Index which posits that each time the world’s largest skyscraper is built, an economic crisis follows.  Dr. Thornton has uncovered some pretty compelling evidence to support the theory in the past and has a new article on the newest tallest building in the world under construction in Saudi Arabia.

 

Link to original article
Skyscrapers and Business Cycles

http://www.amazon.com/The-Economics-Prohibition-Mark-Thornton/dp/1610160479

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By: Mark Thornton

Even as the Saudi Arabian state steps up bombing raids in Yemen and spends billions on new military infrastructure, plans are moving forward for the Kingdom Tower in Jeddah. The new tower is to be a kilometer tall and will contain at least 200 floors. It will include both a luxury hotel, class A office space, residences, and many other luxury features. It represents phase 1 of a multiphase development just north of the city of Jeddah on the Red Sea.

The Kingdom Tower project is organized by the Kingdom Holding Company, the chairman of which is Saudi Arabian Prince Al-Waleed bin Talal. He is nephew of the late King Abdullah and is the wealthiest Arab in the Middle East.

The project has been in the works for several years. Between 2008 and 2013 contracts were negotiated and signed, technologies were selected and developed, and preliminary work was carried out. In early 2013 work was begun on the underground foundation and was completed in early 2014. The above-ground construction commenced in the fall of 2014 and is proceeding apace.   (more…)