Economics 101
I remember when I went to school and was taught in basic economics that there is always boom and busts cycles. It is a way of the economy re-setting naturally and weeding out the inefficiencies and hitting a reset button. The big problem is, I did not learn about Quantitative Easing.. and the way a government central bank can print money at will.
The GFC is going to look like a picnic, at some stage the huge debt piled up around the world will be called in to be paid, but, no one will be able to re-pay the debt. Then what happens....?? Well it is going to get ugly.
Already we are seeing signs like Italy and other Euro countries struggling. In Australia where I am, housing prices are crazy, I mean if interest rates go up, even a tiny amount, there will be a large amount of household who will not be able to service their new re-payment amount. They will be forced to sell, wash - rinse - repeat, prices will come tumbling down.
I expect 2018-19 to be tough years and this is why I have faith in Bitcoin, it is finite, government cannot print any more, and it is a world wide currency. Governments will have to modify the tax system to earn their money in the future.
Tax is a given, we need to pay it, but the governments must stop the corruption that goes on within to ensure the new tax system is as efficient as possible.
Let me know your thoughts - there surly are smarter people than me out there
Cheers
GUNGA
hi @gungadin
just re-read your post.
Indeed that's how things seem to be. But it's just harder to predict when those growing bubbles will burst.
how long do you think we have before new crisis will start? 2019? 2020? or perhaps this year already (I dont think so).
cheers,
Piotr
Thanks for reading.....we are overdue for a bust...and the next bust will be a ripper....there will be blood on the streets. Printing money is not the answer!
and have a great weekendthx for your reply @gungadin
Many people seem to be awaiting this crisis.
Ugly for those who have savings, blessing for many having morgages (huge inflation may allow them to pay off entire loan within few months if Im not wrong).
Do you think it will boost or kill crypto market? It seem that you believe that it will be only good for crypto.