4 ms·
>and it's especially bad when credit is not used for investments It doesn't even have to be "not investments", it can be appropriately risky investments that j
by forgetsusername 11y ago
>and it's especially bad when credit is not used for investments
It doesn't even have to be "not investments", it can be appropriately risky investments that just don't pan out (perhaps even systemically due to a "black swan").
There's inherent variation, ebbs and flow, in the economy that we won't ever be able to smooth. Booms and busts will occur because those on the credit margins always represent "going too far".
- icebraining 11y agoIt's obvious that there will always be booms and busts; the important question is why they are synchronized, instead of localized, like the dotcom boom and bust mostly was.