Jump to content
House Price Crash Forum
Sign in to follow this  
_w_

Financial Markets In Yet Another Bubble?

Recommended Posts

This is one of the better papers I've read this month. Everything I look at from a common sense perspective points to a bubble forming in financial markets, not a bull market. This paper seems to support this idea.

Points of interest:

- as participants become more experienced/immune, bubbles pop faster and faster. We've seen that over the last 9 years in dot coms, property and commodities.

- a change of the rules such as large liquidity injections and price support generate new bubbles even though participants should be immune.

http://www.scribd.com/doc/18661376/Bubble-Theories

The theory seems to match reality, quite interesting.

Edited by williamdb

Share this post


Link to post
Share on other sites

The central bankers are out of control.

They are already thoroughly discredited, they, after all created and encouraged this mess in the first place (plus others) , they are the very last people who should be trusted to cure the ills.

Yet another bubble (or series of bubbles in different sectors), maybe this time (or even the next followed by total revulsion of their ilk, their self-importance, their twisted loyalties and their tactics.

Share this post


Link to post
Share on other sites
The Last Bubble.

The Bubble to end all bubbles.

Actually, the paper seems to indicates the bubbles become shorter and shallower as participants become more educated. It then takes another generation to start again.

Share this post


Link to post
Share on other sites
The central bankers are out of control.

They are already thoroughly discredited, they, after all created and encouraged this mess in the first place (plus others) , they are the very last people who should be trusted to cure the ills.

Yet another bubble (or series of bubbles in different sectors), maybe this time (or even the next followed by total revulsion of their ilk, their self-importance, their twisted loyalties and their tactics.

You've got to hand it to them, they're smart. But in theory this shouldn't change anything, in due course this one will burst too, I wouldn't give it more than 6 months.

Share this post


Link to post
Share on other sites
Actually, the paper seems to indicates the bubbles become shorter and shallower as participants become more educated. It then takes another generation to start again.

Yup........

Share this post


Link to post
Share on other sites

Create an account or sign in to comment

You need to be a member in order to leave a comment

Create an account

Sign up for a new account in our community. It's easy!

Register a new account

Sign in

Already have an account? Sign in here.

Sign In Now
Sign in to follow this  

  • Recently Browsing   0 members

    No registered users viewing this page.

  • The Prime Minister stated that there were three Brexit options available to the UK:   287 members have voted

    1. 1. Which of the Prime Minister's options would you choose?


      • Leave with the negotiated deal
      • Remain
      • Leave with no deal

    Please sign in or register to vote in this poll. View topic


×

Important Information

We have placed cookies on your device to help make this website better. You can adjust your cookie settings, otherwise we'll assume you're okay to continue.