Read more: http://pragcap.com/will-the-shorter-business-cycle-lead-to-recession-in-2012#ixzz1heKwincL
Worth reading because they break down the economic cycles into a finite set of, well patterns, Elliot waves maybe? But they call it two long cycles, one on 30 years and one about 4 years. The 30 ye3ar trend was declining prices due to economies of scale in global trade. The soverigns used up all that good stuff with debt, using debt to fixed problems along the way.
We think that the three ‘super-cycles’ between 1982-2007 were the exception rather than the norm and existed largely because of a near 30 year secular global decline in inflation that transcended the business cycle. This was perhaps caused by Globalisation and the reduction in cost pressures that it facilitated. We think that the Western authorities ‘maxed out’ on the benefits of this inflationary decline by pumping monetary and fiscal stimulus into their economies whenever they had an economic problem. Given the lack of inflationary pressures they had a rare ability to do this without the normal subsequent price rises.”
Read more: http://pragcap.com/will-the-shorter-business-cycle-lead-to-recession-in-2012#ixzz1heLcxlHC
Let me put this in context. The Chinese were funding their Republican socialism, and Republicans lied about. All their crony capitalist freinds getting bailout money from middle class tax payers. The scam was masked by Chinese workers, so we had a defacto communist alliance between the two communist parties of the respective nations.
Who started the shit? Reagan, the Alzheimer's president. That idiot was a tool in the hands of communist bailouts,which continue to this day.
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