A lot of the "climate change" is part of the natural cycles of the planet and while we may be accelerating it (how much no one knows), unless you want us to all become Amish there's nary a thing we can realistically do. And even then, it's naturally still gonna change.
Crisis is right, the economy is cyclical and every 10 years or so the is normally a reballance, be it a drop in house prices or a drop in lending (or in this case both).
I feel reall sorry for first time buyers who have recently got on the ladder. My mate paid around £275,000 (about $550,000) for a small semi in Surrey (only two bedrooms and very small). This was a stretch and he had to put it on the market back in January for domestic reasons. He put it back on at £310,000 which was the advised price but now it wont sell. Infact there is a very good chance he will end up in negative equity in the next few months.
My heart goes oput to people in similar situations.
Unfortunately the UK economy has been built on nothing but cheap credit over the past 10 years. This inturn lead to house prices shooting up with early adopters beeing able to buy a second property on the strength of their equity gains and a viscious circle developing. I have no sympathy for people with tonnes of property (and huge equity losses) in their portfolio as they have been partly responsible for this situation.
I also agree with Crisis that whatever we do for the environment will only benefit at a local level (still a good thing mind) because of the rapid development of India and China as industrial powers. India is selling around 1000 new cars a day and they all rely on the black stuff (no Dev I dont mean Guinness;))
As an economy the UK is probably worse of than the US!