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Strategies & Market Trends : 2026 TeoTwawKi ... 2032 Darkest Interregnum -- Ignore unavailable to you. Want to Upgrade?

To: Haim R. Branisteanu who wrote (43313)	12/1/2008 1:51:27 AM
From: elmatador	Read Replies (1) \| Respond to of 219694

This was neat wrap up of commercial banking. It works as long as capital is needed where capital is created. Once capital tries to spread then the problems started. The regulations inside the country prevents greed to take over. I correlate speculation, bubble and recessions with spreading of capital. The rules and reulations that prevent that to happen seem to disappear. First time greed and speculation created a financial crisis was when the Dutch spread capital, created more, hogged and created a Tulip bubble. The greed and speculation starts once capital tries to spread. Then came the British, spread capital, created more capital, and created the South Sea Bubble. The US takes over and create the 20's bubble that resulted in the recession. Japan turn came. Hogged capital and the soil under the emperors palace was value as much as the real estate of the state of California. As you can see, capital hogging is what create speculation fueled by greed, bubbles and then result in a recession.