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After years of unsatisfactory personal research of various schools od economics I had to come to conclusion they are all flawed because they completely omit the
by snidane 7y ago
After years of unsatisfactory personal research of various schools od economics I had to come to conclusion they are all flawed because they completely omit the important parts which govern our economy.
For example having all economical models based around people exchanging goods and not focusing on why money actually disappears from economy in form of monopolies and money parked in real estate. It always has to be poured back into economy in form of money stimuli like QE, yet people are blind to the fact that it yet again gets eaten up by ever bigger monopolies and more expensive real estate. A simple network model of money circulating in economy would show that these sinks are where the money keeps disappearing.
Yet no economic school has its primary focus set on these money eating sinks. The closest school is actually the once mighty, now close to extinct Georgist school, in which they at least explain the business cycle of booms and busts as housing cycle, where housing bust is not some random consequence of a business going bonkers, but housing (actually land speculation) being the major cause of these cycles.
If you think about it 100% of population (except for hobos) are involved in real estate market and paying close to 50% of paycheck on housing in some form. Yet all economics focus on stock and bond markets and exchange of random little items even though these are dwarfed by the housing markets.
I don't think it is a conspiracy, but laziness. People like to research things which are easy to research, but not things which are difficult but important.
- QuesnayJr 7y agoThere's an entire field of real estate economics. There are professors and conferences and everything. You won't find your theory about money sinks, because it's a theory unique to you. It may be the greatest breakthrough in the history of economics, but it's not a theory that currently anyone else believes in. I personally am skeptical.