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...stock market crashes don't destroy money (they just redistribute it). Source needed. Stock market crashes absolutely destroy money by any reasonable defini
by btilly 7y ago
...stock market crashes don't destroy money (they just redistribute it).
Source needed.
Stock market crashes absolutely destroy money by any reasonable definition of the money supply.
- ailideex 7y ago> Stock market crashes absolutely destroy money by any reasonable definition of the money supply. Mind sharing that definition? I don't see that quite squaring with this: https://en.wikipedia.org/wiki/Money_supply#Empirical_measures_in_the_United_States_Federal_Reserve_System https://en.wikipedia.org/wiki/Money_supply#Empirical_measure...
- acchow 7y agoWe’re destroying valuations, not money.
- archontes 7y agoI'm no expert, but I think I get what he said. If I have $100 and I buy a stock worth $90 from you, there's $100 in the economy. If the stock goes up to being worth $110, there's still $100 in the economy. If the stock goes bust, there's still... $100 in the economy.