And as a bonus question, how have we fallen into the same problem we did just 14 years ago, how did no one think “let’s do it differently this time guys!”
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Recessions are a necessary part of the economic cycle. After a long period of growth (which we have had), economies tend to accumulate companies that are less efficient or poorly structured which are “kept alive” by easy credit and easy growth. A recession helps to weed out these poorer companies and frees up resources (capital, workers etc) for renewed growth.
Underlying all economic growth will be the deployment of new technologies and methods, hiring better and more educated workers. This is a fairly dynamic situation so this idea of “lets do things differently” occurs all the time in various individual firms and investment decisions.
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