Recession is a necessary evil

[tradersboredom]

car markers like GM are too inefficient and made bad cars and builit on debt.

Quote from tradersboredom:

debt or leverage is same thing.

all debts must be paid.

there is no free lunches.

market corrections is the method that capitalism reversion to the mean or makes the economy more efficient and finding the price for equilibrium

home prices were too high.
oil pricess too high
real estate too high etc
war debt too high.

 

[tradersboredom]

GM is a classic case of how a large corporation turns to a dead stock dead company. shareholders owners of the company don't make money in owning the stock and the company still exist for decades

Quote from tradersboredom:

car markers like GM are too inefficient and made bad cars and builit on debt.

 

[tradersboredom]

market corrections are a necessary evil.

it humbles the capitalist

Quote from NanoTick:

Recession is a necessary evil. In a free economy, only a recession can weed out unproductive businesses and put people to better use. In a way it’s the free economy repairing its flaws, painful but necessary.

 

[ehmoran]

Yeh, and appears to piss off the EXPERT and Professional politicians, economists and traders.

Then people that want free money without trying to understand Markets and Economics get pissed at their Fund Manager for losing money. Heck, aren't these free lazy money people the same ones giving you Stock tips on a daily basis.

They had a chance to call their Fund Manager and pull their money at the start of the Bear Run.

(How many RED candlesticks makes a Bear Market?)

A no correction Market is Unhealthy and pure GREEDY.

 

[ehmoran]

You know, politicians like Barney Frank saying that Freddie and Fannie are doing just fine in July then in September went from $5.35 to $0.35 overnight.

Dumb asses.