Not exact matches
«Accordingly, it has all the hallmarks of a classic
speculative bubble, which we expect to
burst.»
These fledgling companies ran wild until a combination of ill - conceived strategies,
speculative gambles, and a slowing economy
burst the dot - com
bubble.
Savings and loan associations, earlier the main source of private mortgage loans, could no longer meet the demand; they had sought quick profits in commercial real estate after a 1980 deregulation allowed them to diversify and were crushed by the
bursting of the
speculative bubble that followed.
In the 1850s and 1860s, following the
bursting of
speculative bubbles in the US and UK railroad sectors, it lent freely to institutions to prevent financial panic, as it did during the Barings crisis of the 1890s.
In his book «Early
Speculative Bubbles and Increases in the Money Supply,» Austrian - school economist Douglas E. French writes that when the government prints money, interest rates fall below their natural rate, encouraging entrepreneurs to invest in ways that they otherwise would not, and fueling a
bubble that eventually must
burst and force these malinvestments to be liquidated.
In this article we'll use forest fire management policy as an analogy to discuss whether market forces should be allowed to
burst speculative bubbles, «clean the forest floor,» and quickly return the market to a natural state, or if governments and central banks should try to «put fires out» in an effort to slowly deflate
speculative bubbles which, if allowed to
burst, might harm the broader economy.
Previous economic crises were caused by the
bursting of
speculative bubbles: a technology
bubble in 2001 and a real estate
bubble in 2009.
From Professor Robert Shiller's «Irrational Exuberance» Second Edition 2005, chapter 6, page 125: «Despite the suggestion inherent in the phrase
speculative bubble that there may be a dramatic
burst — a stock market crash —
speculative bubbles and their associated new era thinking do not end definitively with a sudden, final crash..»
Given the predictions back then — of an imminent
bubble burst and a housing market crash — hedging on real estate losses would've been a smart,
speculative position.
Finally, even the most optimistic investor should at least consider that cryptocurrencies are a
speculative bubble that could
burst.
I really appreciate the honesty in this article and you are right «cryptocurrencies are a
speculative bubble that could
burst»
Cryptocurrencies like bitcoin and ether have unleashed an investor frenzy — and a chorus of warnings that a
speculative bubble is about to
burst.
Fueled by government policies and the broad decline of the stock market, the Chinese real estate market has seen a spike in sales activity in recent months despite poor underlying fundamentals, leading many observers to suggest that a
speculative bubble is about to
burst.
The
bubble burst as the global credit crisis caused
speculative demand to wane and banks restricted lending.