Everyone says the same thing on every crisis. And even though people do study those crisis later, we don't seem to be learning very much about how to avoid them in the future.
What about not having a home makes you happy about this?
Are you thinking this would lead to a drop in home prices?
Unfortunately, as many from 2008 will tell you, a crash leading to more affordable housing and living for you only works if it crashes for everyone else but you manage to stay afloat (aka keep your job, and be relatively sure you won’t lose it at any moment). Otherwise you crash with the housing.
or maybe he has fallen on hard times and is looking forward to seeing others experiance his pain.
Humans are weird.
It sounded to me like he had general anxiety that the economy has an underlying problem that's causing ongoing pains with e.g. rents.
And that this selloff might be the start of a correction that fixes that.
So, kind of like lancing a boil. Unpleasant, but better than continuing the status quo.
I am genuinely worried me and my cohort’s lifespan 1996-20XX will be a period with an economy that continues to be as dysfunctional as it has been
Especially worried it will never be addressed, or will take painful (see: revolutionary) measures to address the challenges
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Where I live (Australia), we’ve had a decade of a conservative government. We finally voted in the more progressive party and instead of addressing the economic issues we’re facing, they’re strategically playing a small target platform (ie not introducing any substantial measures).
I personally don’t see the Australian or Canadian economies being equitable until ~2035-2040, where the cohort at birthrate peak (boomers) begin dying en masse.
Australia is a place of genuine demographic economic inequality for those born here, and still fairly economically adversarial to skilled migrants, let alone those who actually need an escape to a better place
The cash will be parked on the sidelines where the misallocation will continue.
The fine print no one tells you about is that these first beneficiaries basically gets a lot of money before it hits the wider economy, so they get money pre-inflation. When it trickles down to the masses like us, inflation and price rises have already hit. However perfect pricing information might be encoded in the stock prices, their effect is not instantaneous.
This is one mechanism by which companies and rich people get even richer during high inflation and volatile economy. That is, unless you buy into the insane Keynesian concept of inflation being a lack of spending.
I knew we were close to top when I saw that. But I do think this is creating buying opportunity for some other non bubble stocks that never recovered like NVDA did.
I guess "'I put my life savings on [most buzzed-about stock of the day]' on Reddit" = "shoeshine boy giving stock tips to Joseph P. Kennedy"
The business is completely dead and just hanging on. People would view the business going under as negative but right now it is a complete waste of resources and the owner's life.
I suspect there is a staggering amount of business in this exact situation but we don't seem to believe in creative destruction as a society anymore.
Floating all these zombie businesses is just tinder for a larger fire that is harder to put out than it should be. No real shock the spark would be a yen carry blow up. I have seen this episode before.
Made me chuckle as I would imagine these two should be least concern real estate supply-wise along with Russia.
"First, a deficit of oil. Then, a deficit of sand."
In the Irish case it’s largely down to an attitude after the financial crisis that Ireland would go back to its old pattern of bleeding out the working-age population through emigration, and therefore there was no need to keep the construction industry on life support in the way that other countries did. When this did not come to pass there was a problem; building shut down completely from 2008 to 2014, and while it’s now back on stream, there’s such a huge deficit from the period of no activity that it’s hard to overcome in the short term. Ireland currently has about seven times more housing starts per year per capita than the UK, and it’s still not good enough.
This is a case where a recession, coupled with bad policy, made a housing crisis far, far worse.
As someone saving for retirement: great.
It means I can buy more units for the same amount of money that I could just a little while ago.
"My" recession is still being gaslighted by the US government as not happening. Japan has officially been in/out of a recession for over a year, so they at least got over the denial phase. Probably won't make many calls in the US until 2024 is over.
>I hope every inflated market is corrected accurately this time around
House always wins. So I'm not holding my breath. Doubt even a recession would kill off all the AI speculation. Maybe a depression would, but the economies is very different from the 30's depression.
As someone without a home, I am uncomfortable with how happy I am about this news
I’ve felt like since they perhaps prematurely mass printed cash early in the pandemic, there’s been an absurd amount of capital that’s been incorrectly allocated
Most misallocated capital from my perspective was funnelled into the rent->landlord->real-estate value pipeline (especially for supply-choked Australia and Canada)
I do also think some stocks have been grossly overvalued, for example, NVIDIA’s stock price; CUDA is objectively not worth $2 TRILLION
Perhaps in the future 2020-2025+ will be taught in economics for the ills of speculation. Money should not be too uncoupled from utility. Things like credit are important to keep capital flowing, but there needs to be much more scrutiny into assets inflating beyond what utility they can possibly provide long term
It’s almost like every market, all at once, has been caught in a bubble
Our much needed recession is here. I hope every inflated market is corrected accurately this time around
In some ways, the good times beget the bad, and the bad times beget the good