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zakruti.com » Knowledge, science, education » TED-Ed
What causes economic bubbles? - Prateek Singh

What causes economic bubbles? - Prateek Singh

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Rating: 4.0; Vote: 1
During the 1600s, the exotic tulip became a nationwide sensation; some single bulbs even sold for ten times the yearly salary of a skilled craftsman. Suddenly, though, the demand completely plummeted, leaving the tulip market in a depression. What happened? Prateek Singh explains the peak of a business cycle, commonly referred to as a mania. Lesson by Prateek Singh
Date: 2020-08-22

Comments and reviews: 6


America is on the rise of the next recession after a 10 year save from 2009-2019, it will occur 22-24 months after 2019, sometime within the year 2021 is what a lot of economists are predicting. The saving 10 year point post-great recession of 2007-2009/ House owners personal Mortgage Debt/Housing crash's bubble/The Mortgage District Crashed bubble(all stock/banking districts like placed in New York's Wall Street, Tallagousee. LA, Chicago Illinois, and Washington DC couldn't clearly help with near safe deposits. results, or checkings towards any costumer. Beyond tellers shutting down along bank closures on them, after several mortgaged payments that tons of average joes/janes were loaning with added CDO percentiles on top, which had played a major factor on the US' economy and the states' protesting against the governed/federal banks/running away from FBI or Warran police/Rangers as they'd knocked on peoples doors(trying federal charged high-rising amounts debts/loan payment criminals. The Dot-com bubble was after the success of internet in 1994/1995 to 1997, and again 1998-2001. August 21st 1999 was when the Y2K scandal occurred, 1997 and September 11th 2001 were the bombings the twin towers and lost of several stocks put onto new internet companies like Amazon and E-bay and Google. I might not understand what a bubble is outside of chowing gum or kid's blowing bubbles. However America has had a difficult life within the post-Cold War era versus Canada outside our GM and factory loses and brief recession periods. We didn't get affected during the eighties, noughties, or Fifties/Sixties like the states did. .
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You seem to have totally missed out on, or at least not mentioned well enough, one of the major things that fuels these bubbles: investment. People werent just buying tulips or whatever because they were desired; they wanted tulips because of their rapidly rising prices, since they could make massive profits upon selling them. That was what was fueling the feedback loop you mentioned: people bought more because they hoped to profit off the price rising, and the price rose because people were buying more. Maybe you did mention it, but you worded it extremely poorly if you did. Especially at 2: 36; that explanation did not make a lick of sense.
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People just put value on material things. Things that should be learned aren't. People need food. Animals need food. Plants take water. Well if you fill your pool with water why can't Christine fill her up. Go swim in the lake you bums. When food prices start going up, feed prices go up, then food prices go up more. Then pretty soon your paying 4 for an 18 counter of eggs, and 5 for milk.
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My teacher told me that the Filipinos once exchanged huge quantities of gold for a few pieces of mirrors offered by the Spanish years ago. Scamming is everywhere and everywhen ever since trading started.
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Can anyone please suggest me a good economic book which explains all such ideas and concepts?
It will be extremely helpful
Thank you all

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When something in the economy i is deemed too big too fail, well it probably is way too big and the only place it could go is down
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