Jeremy Chiang on Nostr: Been listening to a lot of preston lately and one of my takeaways is: Our current ...
Been listening to a lot of preston (npub1s5y…6q7z) lately and one of my takeaways is:
Our current economic landscape is far from resembling free and open markets. Whenever a slight crack appears within the financial system, Central Banks swiftly intervene to avert a complete collapse (most recently Silicon Valley Bank). This degree of intervention shows how heavily manipulated the markets are and its inability to self-correct. Troubled actors like banks who misallocate capital and businesses who take on excessive risk are shielded from failure, so instead of addressing the underlying issues, we often resort to short-term solutions, perpetuating a cycle of delayed consequences. This recurring behavior has led to excessive levels of debt, the endorsement of risky and unsustainable practices, and the distortion of the natural flow of capital that should seek out the most valuable opportunities.
Our current economic landscape is far from resembling free and open markets. Whenever a slight crack appears within the financial system, Central Banks swiftly intervene to avert a complete collapse (most recently Silicon Valley Bank). This degree of intervention shows how heavily manipulated the markets are and its inability to self-correct. Troubled actors like banks who misallocate capital and businesses who take on excessive risk are shielded from failure, so instead of addressing the underlying issues, we often resort to short-term solutions, perpetuating a cycle of delayed consequences. This recurring behavior has led to excessive levels of debt, the endorsement of risky and unsustainable practices, and the distortion of the natural flow of capital that should seek out the most valuable opportunities.