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Strategies & Market Trends : Waiting for the big Kahuna -- Ignore unavailable to you. Want to Upgrade?

To: MythMan who wrote (73116)	5/2/2006 5:57:47 PM
From: Real Man	Read Replies (1) \| Respond to of 94695

It goes just like he said it would -g- "If the credit expansion is not stopped in time, the boom turns into the crack-up boom; the flight into real values begins, and the whole monetary system founders. Continuous inflation (credit expansion) must finally end in the crack-up boom and the complete breakdown of the currency system." "Expansion (of credit) squanders scarce factors of production by malinvestment and overconsumption." Malinvestment means building shopping centers rather than factories. Overconsumption means a borrowing and spending boom by consumers that depletes savings and reduces capital investment. investmentrarities.com Lots of shopping malls here, no factories. Shipped to China -ng- "Accidental, institutional, and psychological circumstances generally turn the outbreak of the crisis into a panic. The description of these awful events can be left to the historians. It is not...(our task)...to depict in detail the calamities of panicky days and weeks and to dwell upon their sometimes grotesque aspects."