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Glasgow, Ky | From Wikipedia, the free encyclopedia a few tidbits regarding an economic bubble.
"An economic bubble (sometimes referred to as a speculative bubble, a market bubble, a price bubble, a financial bubble, or a speculative mania) is “trade in high volumes at prices that are considerably at variance from intrinsic values”.[1]"
"Prices in an economic bubble can fluctuate chaotically, and become impossible to predict from supply and demand alone."
"Economic bubbles are generally considered to have a negative impact on the economy because they tend to cause misallocation of resources into non-optimal uses. In addition, the crash which usually follows an economic bubble can destroy a large amount of wealth and cause continuing economic malaise."
Good article to read to help keep the proper perspective on things in the marketplace. Anyone out there think we are not experiencing an economic bubble in the grain business at this time?
Here is the link for the rest of the article.
http://www.google.com/url?sa=t&ct=res&cd=6&url=http%3A%2F%2Fen.wiki... | |
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Economic bubble
