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Friday, September 21, 2012

Views on the Future

In the future, it is illogical that...

... the Economics will be a type of present day Capitalism that contains the mechanics of Boom and Bust cycles.

One of the foremost reasons for this is what we learned from 2008 in that the larger and more complex a society becomes, the more devastating the size of the Booms and - correspondingly - the Busts!
And there are no mathematical, economical guarantees of recovery from any given Bust phase of the cycle.

We also learned that recovery from a Bust cycle that was accompanied by a Fiscal Crisis takes much, much longer than normal recoveries from a Bust.

If we accept the possibility that there may be other combinations of events that will exacerbate the Bust, and we have found precious few combinations that ameliorate it, then we are playing with fire.

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