Comment on What is the catalyst that actually causes (financial) bubbles to burst?

DarkAri@lemmy.blahaj.zone ⁨1⁩ ⁨day⁩ ago

Fundamentally it all comes down to unemployment. There is a certain point in a thermodynamic way that even the most brainwashed slaves stop becoming productive. If you don’t have a safe and private place to sleep, it’s enormously taxing on your motivation, if you can’t afford nutrients, you will be physically tired and your body will scream at you to avoid any type of damage to itself.

For bubbles, they exist mostly to make rich people richer, but come at the cost of workers getting more inflation and weaker purchasing power for their wages. Every so often bubbles have to pop, so the rich can buy up all the property they sold back, at a discount and start the process over. One of the many scams of international capitalism.

So the bubble really pops when people are unable to work for the dropping wages. It’s really just a physics question in a way.

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