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Another canary is finance. Finance is like blood, it distributes resources from one place to another. You don't want it too fast or too slow. When finance star
by muzani 2y ago
Another canary is finance. Finance is like blood, it distributes resources from one place to another. You don't want it too fast or too slow.
When finance starts to lay off lots of people people, it's because people are spending less. When people are spending less, it causes recessions.
A very strong metric to watch is interest rates. Most recessions hit when interest rates are 0%. Rates are lowered to encourage growth, but when they're at 0%, the lever is stuck.