Dennis Yeskey, principal of Deloitte Consulting LLP and nationaldirector of the Deloitte & Touche LLP Real Estate CapitalMarkets pointed out both the good and bad economic messages thatare fueling the debate. Record prices, strong corporate profits, aresilient economy and low interest rates are all positive factorsfor the sector.

"If you are a Goldilocks person you had a huge bump last weekwith the fourth quarter numbers," Yeskey said. While the numbersare still preliminary, it appears that the GDP rose to 3.4%, whichis both significantly higher than Q3 results, which averages 2% ofthe GDP, and the Q4 forecast of about 2.2% GDP. "There is a rosyscenario going on here."

On the other hand, business consumption declined in 2006,dragged down by the lag in residential construction. Yeskey said,"A lot of people are predicting goldilocks based on this going up."Those predicting recession, point to low personal savings rate,corporate scandals, falling home building and the huge tradedeficit, which is likely to come back into focus.