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Upturn in market conditions after the depression

Real estate, gold, commodities and even arts and tulips - are only a few of the areas that have been hit by a bubble in market conditions and a subsequent crash and depression, as it all broke down.

The world has seen more than 275 bubbles throughout history and right now we are in the middle of the depression after one of the very big bubbles.

We will experience a time of economic depression, forced sales and economic ruins but also a time of political intervention, management and control of financial markets

The question is only: does it help and will we see another upturn?

 

 

 

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After the depression - what then?

Historical bubbles

Investment strategies

 

 

 

The road to the abyss

The foundation for the current crisis were laid back in 2000 when the IT bubble burst. The fear at the time of a deep recession was high, especially in the U.S. market. To anticipate this situation, the U.S. central bank, headed by Alan Greenspan, lowered interest rates significantly, and led a very loose monetary policy, which increased liquidity and access to money.

The result was a rapid return to optimism and investment readiness. This investment readiness, together with an irrepressible optimism spread to all parts of society. And thus the road was ready for the credit crisis we have today and which has brought us even closer to an economic depression.

Expect a long period of balanced growth

If we look at history, then the major economic crash usually has been followed by long periods of stable growth. Just like after the 1929 crash, we can expect a political intervention which strengthens retail regulation and control.

The crash in 1929 and the subsequent economic depression can be said to be the foundation for the development of our modern welfare state with relatively high degree of security for individual citizens.

Similarly, it can be expected that the outcome of the current crisis will be new policies, which at the cost of the taming of raw capitalism, will develop a more harmonious society not only in the U.S. and Europe but throughout the world. This has the possibility of creating a foundation for a multi-year balanced growth. And maybe a whole new world