Now That You're Unemployed, How 'Bout Becoming an Ewok Chief?
A negative feedback loop between the real economy and the financial system could easily tip the economy into a formal double dip: The real economy reaches a near-stall speed and risky asset prices correct downward, leading to a negative wealth effect, a higher cost of capital and reduced business, consumer and investor confidence.JOE WEISENTHAL'S BEMUSED RESPONSE:
We've read that like 5 times, and we're still not sure exactly what it all means, except that with terms like "unstable disequilibrium" and "negative feedback loop" and "formal double dip" it sounds pretty horrible.
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Heather Horn
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