Some note on the history of boom and bust

1.  Quick rate cuts provides liquidity to the economy, and would result in consumer price inflation or asset price inflation.  The expansionary move fuels the self-reinforcing uptrend that defines a boom.

2.  High Fed Fund Rates will stall growth, but will bring inflation down.

3.  During a self-reinforcing boom, wall street analysts will feel great pressure from their clients (investors, fund managers) to act against their own bearish believes.

4.  The driver of a bull market is usually caused by a cultural shift of money flow.

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