The 'Boom' part of the business cycle is when people earn more than it costs to live, and start 'saving' money. The 'Bust' (or 'Crash') is when the finance people, who are on the receiving end of 'savings', spend all the 'savings' on non-productive stuff, like real-estate bubbles, or railroads that don't serve anyone, etc, etc., and the 'savings' are effectively lost. The difference with the latest 'bust' is it is combined with the 1st real increase in the cost of energy production. mulout
The 'Boom' part of the business cycle is when people earn more than it costs to live, and start 'saving' money. The 'Bust' (or 'Crash') is when the finance people, who are on the receiving end of 'savings', spend all the 'savings' on non-productive stuff, like real-estate bubbles, or railroads that don't serve anyone, etc, etc., and the 'savings' are effectively lost. The difference with the latest 'bust' is it is combined with the 1st real increase in the cost of energy production. mulout
ElstiUTube 1 year ago
what actually caused the "CRASH"
bubinasuit 1 year ago
@bubinasuit its very hard to determine that but as more people rushed to sell their stocks it just kept going down more till billions were lost
snipez4real 1 year ago