 An important aspect of economic crashes is that things never recover back to the previous level, and the whole system becomes increasingly more unstable over time. One key reason is that crashes result in wealth concentration. People become insolvent and default on their debts, then the oligarchs swoop in and buy up the assets on the cheap. A necessary result of capital concentration is that majority of the people end up living on increasingly thinner margins. They own less and owe more debt. 4 comments
 @yogthos I think that most world has never seen a real economic crisis, what we have seen is mostly a purposeful devaluation of critical assets so the kleptocracy can take them. In times of crisis their core assets take up value, and they amass whatever they can. The rest of the time the central banks protect them from any kind of deflation, which would probably be one of a few ways they would take a hit. @yogthos which is why ultimately disaster capitalists don’t mind crashes : they see opportunity for self enrichment. |
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@yogthos #LateStageCapitalism working exactly as intended. #wealthinequality