Stocks & Commodities V. 26:11 (32-36): My Kondratieff Wave by Koos van der Merwe
Product Description
My Kondratieff Wave by Koos van der Merwe
The Boom & The Bust. Russian economist Nikolai Kondratieff believed that a collapse in the economy would be caused by companies that would not be able to repay their loans and would go bankrupt. Are we at that point?
Nikolai Kondratieff was a Russian economist (1892–1938) who observed that capitalist economies could be analyzed by wave theory. Kondratieff theorized that economic forces repeated themselves in a pattern of a 54- to 55-year boom-and-bust cycle. He described a boom’s collapse as characterized by “renunciation of debt.” He believed that the collapse would be caused by companies that would not be able to repay their loans and would go bankrupt.
Whether it is company debt, mutual fund popularity, technology investment, or a mortgage subprime excess, Kondratieff would have described the bursting of the present stock market bubble as just another “loan renunciation,” which today’s subprime crisis basically boils down to.
For his effort, and his failure to proclaim the death of capitalism, he was arrested and eventually executed by the Stalinist regime.
THE KONDRATIEFF WAVE
Many writers have argued that the Kondratieff wave, or the K-wave as it is commonly known, is only a study of long cycles of debt buildup and repudiation; that it is not exclusively a cycle about price inflation and deflation periods.
The Boom & The Bust. Russian economist Nikolai Kondratieff believed that a collapse in the economy would be caused by companies that would not be able to repay their loans and would go bankrupt. Are we at that point?
Nikolai Kondratieff was a Russian economist (1892–1938) who observed that capitalist economies could be analyzed by wave theory. Kondratieff theorized that economic forces repeated themselves in a pattern of a 54- to 55-year boom-and-bust cycle. He described a boom’s collapse as characterized by “renunciation of debt.” He believed that the collapse would be caused by companies that would not be able to repay their loans and would go bankrupt.
Whether it is company debt, mutual fund popularity, technology investment, or a mortgage subprime excess, Kondratieff would have described the bursting of the present stock market bubble as just another “loan renunciation,” which today’s subprime crisis basically boils down to.
For his effort, and his failure to proclaim the death of capitalism, he was arrested and eventually executed by the Stalinist regime.
THE KONDRATIEFF WAVE
Many writers have argued that the Kondratieff wave, or the K-wave as it is commonly known, is only a study of long cycles of debt buildup and repudiation; that it is not exclusively a cycle about price inflation and deflation periods.
FOR THOSE ORDERING ARTICLES SEPARATELY:
*Note: $2.95-$5.95 Articles are in PDF format only. No hard copy of the article(s) will be delivered. During checkout, click the "Download Now" button to immediately receive your article(s) purchase. STOCKS & COMMODITIES magazine is delivered via mail. After paying for your subscription at store.traders.com users can view the S&C Digital Edition in the subscriber's section on Traders.com.
| Take Control of Your Trading. |
| Professional Traders' Starter Kit |
| All these items shown below only $299.99! |
| Click Here to Order |