People usually think recessions are bad. Are they in fact necessary? Akin to naturally occurring small forest fires…those are good otherwise there could be a mega fire.
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There are upsides to recessions – inefficient businesses go under, allowing new ones to take their place…
…but that often comes with mass unemployment, increased government borrowing, bad debts causing banks to become insecure, etc. It would probably be better to not have recessions…
…but creating an economy that will *never* have recessions might be undesirable (because it implies a system where nothing ever changes and no-one is ever allowed to take a risk), or simply impossible.
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