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Most crashes are caused by misallocated capital in the markets, and state intervention on a massive scale is usually the answer. The state isn't an amazing too
by hkt 5y ago
Most crashes are caused by misallocated capital in the markets, and state intervention on a massive scale is usually the answer.
The state isn't an amazing tool, but it is the best one we have. It can bring about universal healthcare and education, mass housebuilding programmes, regulation and optimisation of dysfunctional markets.. and even put human beings on the moon.
Meanwhile, "investors" pile money into.. um, dogecoin?
The "government is bad" narrative is too simplistic to be helpful. I'd suggest broadening your outlook.
- throwaway0a5e 5y ago>Meanwhile, "investors" pile money into.. um, dogecoin? And why are they doing this? The trail leads right back to... government. "Side effects include investors to dumping money into sketchy stuff because nothing else returns worth a crap" is one of the big gripes people have with 2008+ fed policy.
- hkt 5y agoTrue, bonds should be a safer investmemt. But the fact is, investors are doing stupid things and the markets just aren't rational. They never were.