The inflated pricing of assets, is supported by over-abundance, that spinning around looking for way to spend. It is without check and balance, supply and demand. Therefore not only it is not transient, is not trivial, in fact it can last beyond a moment.
This pricing at free will, will soon increase the cost of living, wasting resources, ignore the most critical element of any survival,
These will severely impact the lower rung in the society.
Without new Industries, there is no new employment, not only there is no wealth creation, there is no generous consumption appetite from the populace. The wealth of the richer will not grow.
Using vocabulary from the economy, excess wealth will convert necessities to luxury ornaments, the higher the price, the better it sells. The opulent design of hand-phone, the branding of tea leaves, chocolate, to beyond monthly income of common workers is what is often reported, but how many of us realize the cause, the impact, the danger?
Using common sense, this is a market without check and balance, management without efficiency as objectives, resulting in the detachment of price from value. This will definitely lead to wastage of all resources, polarization of society, unrest in the world.
In the last few months, we witnessed few rounds of violent rise and fall in the stock market.
This is an indicator that we are stepping into an era of greatest danger.
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