(This reinforces the effect of greater international integration, mentioned  10  “The Committee concludes that, in the long run, housing financiers’ inflows would be more stable if their interest rates were allowed to move in line with market forces.
Coupled with greater overall monetary stability, interest rate decontrol may help appreciably to stabilise housing finance flows, especially as household sector investors have become more interest-rate sensitive. The reduced volatility in funds flows should contribute to a more stable housing sector over the long term. This might result in a slower growth in housing costs.” (Australian Financial System Inquiry 1981, p. 639).