The capitalist world goes back to circular logic.

2024. 7. 7. 17:35U.S. Economic Stock Market Outlook

(Written July 7, 2022)

I think succinctly.
If both are correct, the correct answer is simple.
If you talk longer, it's either a lie or a gibberish.

The capitalist world goes back to circular logic.
Just as the human body rotates well by circulating blood, the capitalist world circulates money.
But the amount of blood is almost constant, and in capitalism, the amount of money is always overflowing. That's how the government keeps it for inflation.
Without inflation, capitalism can't go back. Consumption can't grow fast enough.

In any case, people invest with the surplus because the money is more than needed. Then people's consumption increases and the economy grows. Seeing this going well, people are stimulated to invest more, the economy continues to grow, and the economy is booming.
Then, the moment it overheats, the investment increases too much and the investment's negligence does not come out. In other words, consumption does not increase as much as it invested.
From this point on, the economy becomes overheated and enters a recession.

The government raises interest rates to prevent the economy from overheating.
Then, when the economy begins to slow down (in the event of a recession), it tries to revive the economy by lowering interest rates.

This is the cycle of the game.

Circulation means that stagnation and boom come in order.

After COVID-19 came in 2020, the Korean economy quickly went into recession and then there has never been a boom or overheating yet. The U.S. is similar. (It's a little different from Korea)

Although the U.S. has released $4 trillion, only the financial market has boomed and the real consumer market has not yet boomed.
It doesn't make sense that there is an overheating and a recession even though the boom has not come.

I guess you have a bad judgment after contracting COVID-19.

South Korea began a recession in 2017 due to Trump's U.S.-China tariff war. Then in 2020, COVID-19 slumped again.
Recession from the U.S. in 2022.
What kind of business cycle is this?
The economy is fixed due to the downturn.

Conclusion: One vote for no recession.
It's not until it's overheated that there's a recession.
It's always a recession and a recession.
The word "boom" for the Korean economy has not been heard since the subprime of 2008.

People's neurosis is extremely contagious and chronic.
Just hearing the word stagnation seems to be confusing and selling it for now.
In Joseon, it is similar to economic growth when you hear the word "huban price increase" all the time.

Raise your hand if there are times when the price of the backboard does not rise when ordering the shipyard.
When the economy improves, iron ore prices first rise, back plates rise, and pre-price rises.

When iron ore prices fall, prices will fall and orders will be cut off.
I can't stop you.
In the Ice Age, tigers must have suffered so much that nervous breakdowns were embedded in the genes.

There is autumn and winter only when there is spring and summer.
No boom, no slump.
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