Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Strategies & Market Trends : Booms, Busts, and Recoveries -- Ignore unavailable to you. Want to Upgrade?

To: Moominoid who wrote (66840)	8/1/2005 11:41:14 AM
From: Elroy Jetson	Read Replies (1) \| Respond to of 74559

The Kondratieff cycle is really an observation about the cyclical build-up and liquidation of debt, although I'm not sure Kondratieff was aware himself that this was the driving force behind the cycles. I think he spent many years looking for the mysterious driving force. We have been merrily increasing debt more than twice as fast as the growth in the economy, believing it to be some sort of economic miracle. These miracles always collapse when additional debt can no long be supported by income, or when total debt has made the economy incapable of responding effectively to change and change occurs. Then you experience the miracle of de-leveraging and liquidation followed again by the miracle of new debt creation. When you move the time line past the point of personal memories of the population, every tired repetition is both new and miraculous. .