Predicting ability
The ability of the index to predict economic collapse is surprising. For example, the Panic of 1907 was presaged by the building of the Singer Building (completed in 1908) and the Metropolitan Life Building (completed in 1909). The skyscraper index also accurately predicted the Great Depression with the completion of 40 Wall Tower in 1929, the Chrysler Building in 1930, and the Empire State Building in 1931.
There are, however, important exceptions - the skyscraper index has not predicted all major economic collapses such as the depressions of 1920β21, 1937β38, and 1981β82 and has predicted economic collapse when downturns were relatively mild such as 1913 and the early 1970s.
|1908||Singer||New York||612 ft.||48||Panic of 1907|
|1909||Metropolitan Life||New York||700 ft.||50||Panic of 1907|
|1912||Woolworth||New York||792 ft.||57||ββ|
|1929||40 Wall Street||New York||927 ft.||71||Great Depression|
|1930||Chrysler||New York||1,046 ft.||77||Great Depression|
|1931||Empire State||New York||1,250 ft.||102||Great Depression|
|1972/73||World Trade Center||New York||1,368 ft.||110||1970s stagflation|
|1974||Sears Tower||Chicago||1,450 ft.||110||1970s stagflation|
|1997||Petronas Tower||Kuala Lumpur||1,483 ft.||88||East Asian|
|1997?||Sathorn Unique||Bangkok||49||East Asian|
- Mark Thornton. "Skyscrapers and Business Cycles", Mises Daily, August 23, 2008. Originally appeared in the Quarterly Journal of Austrian Economics vol. 8, no. 1 (Spring 2005) - PDF. There is also an MP3 audio file read by the author. Referenced 2011-02-15.
- Hank Snaffler. "Abandoned Skyscraper β βSathorn Uniqueβ β Fifty Levels of Awesome Abandoned Building", abandonedjourney.com, June 15, 2011. Referenced 2011-07-08.
- Skyscrapers 'linked with impending financial crashes', BBC News, January 2012
- The Skies the Limit: An Interview with Mark Thornton by Tim Swanson, June 2012
- "European Crisis Signal" by Mark Thornton, July 2012
- Skyscraper Index at Wikipedia