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The government has no control of bubble bursts.. in fact they usually aggravate the possibility. According to history, bubble pops usually happen with one small
by rubyskills 6y ago
The government has no control of bubble bursts.. in fact they usually aggravate the possibility. According to history, bubble pops usually happen with one small pop and another much larger one after the fact. This second one will happen when people least expect it because the media has thus far spun a narrative of extreme optimism in contrast to reality. The reality is the economic numbers don't look great and will take awhile to bounce back.
- jlbnjmn 6y ago> The government has no control of bubble bursts Pretty sure the Fed has been spending trillions to keep asset bubbles from bursting. So far it's been working, but also exacerbating social tensions and wealth inequality.
- rubyskills 6y agoHow many bubbles have popped since the Fed has been QEing? What happened in 2008?
- dredds 6y agoNone, because as they finally pulled back on QE in 2019 the yields inverted and the overnights jumped, so Trump forced them to dive back in around Sept '19 to keep the gravy-train trucking for the election year bragging rights.
- rubyskills 6y agoI'm looking at different times scales. There have been pops every 7-10 years or so and they get worse every time. That is part of the business cycle. Sure, things recover (in huge part do to QE), but that doesn't mean bubbles do not happen on a pet frequent basis?