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It’s a well known effect that for big-ticket items, liquidity drops before prices fall. Given a choice between selling at a big loss and just sitting on the ass
by URSpider94 6y ago
It’s a well known effect that for big-ticket items, liquidity drops before prices fall. Given a choice between selling at a big loss and just sitting on the asset, people will choose not to sell. That’s what happened with houses in the last recession.
- jedberg 6y agoYeah but in this case the liquidity drop is artificial -- trading has been stopped.