4 ms·

> What is the difference between a Minsky moment and a top? Casually speaking, it’s the difference between a forced sale and profit taking.

• jnwatson 7y ago
  I think the bigger question is what is the difference between a Minsky moment and an inverse-short squeeze (a long squeeze?)?
  • tlholaday 7y ago
    > I think the bigger question is what is the difference between a Minsky moment and an inverse-short squeeze (a long squeeze?)? Casually speaking, it’s the difference between a forced sale of an asset in order to repay debt after a long period of growth, and the incented but not mandatory sale of an asset which has increased substantially in price over a brief time, which is now abruptly declining, by owners hoping to salvage some of the gain.
    • JackFr 7y ago
      Credit crunch.
    • ltbarcly3 7y ago
      They are basically the same, one is a forced sale and the other is a panic sale. You might consider a minsky moment a specific kind of long squeeze.