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Economy |
Believing In Illusions - Our Five Favorite Financial Myths |
2020-01-11 |
![]() Whether it is a question of people generally just being too lazy to question what they see or lacking the imagination to pull back the curtain to reveal the truth they often choose to accept what is presented to them as reality rather than go to the effort to seek the truth. A myth is often defined as any invented story, idea, or concept, an imaginary or fictitious thing, or an unproved or false collective belief that is used to justify a social institution. The entertainment industry has flourished as society seeks any diversion to pull our attention away from the sharp edges of reality and into the soft comfort of escape. This may be the result of past experiences where we have learned reality can be hard to face and we can't handle the truth! In some ways, it could be said that our culture has become obsessed with avoiding what is real. To say the system has been stoked by the actions of central banks is an understatement. In just the last few months nearly a trillion dollars of new stimulus has been poured into the markets. It comes in the form of repo injections, new infrastructure programs, and things like slashing bank reserve requirements. A desperate attempt by central banks to keep the wheels from coming off the bus has been interpreted by many as confirmation the current trend of never-ending growth will continue. Rather than considering it is time for a reality check it is both easier and more comforting to adopt an "all is well" attitude and ignore the signs of danger lurking around the corner. |
Posted by:Besoeker |