Leading up to the Great Depression there were signs, most significantly of which was serious market instability, near the end there were violent
swings in the value of certain stocks. Today we can see this same pattern happening, only with the advent of electronic trading these violent swings
are so fast that few happen to notice.
Research firm Nanex estimates that this year there have already been more than 10,000 micro-crashes, where stocks dropped far outside a normal
trading range for several seconds. Even Warren Buffett's Berkshire Hathaway (BRKA, Fortune 500) succumbed to such a crash on May 3, when, within
seconds, its high-priced Class A shares dropped 90% and then just as quickly recovered.
money.cnn.com...
Over 10,000 micro-crashes this year, I would say these are serious and violent stock swings that hearken back to months before the Great Depression.
There was market instability for years leading up to the Great Depression, but this time the instability has lasted much longer which would suggest a
more severe depression ahead. I think it would behoove us all to remember that in the early days of the Great Depression many resorted to violence
and hoarding, but it did not take long to realize that we were better off with one another than without. People began to share and help one another
to survive and found this was the best course of action when considering survival. I suggest that we remember this lesson and should a depression
arise spread the word as quickly as possible, we need to band together and help one another.
Many may remember that the Great Depression ultimately ended in war, but do we need to repeat this mistake? Should we repeat such a mistake this time
around there would be no return to prosperity.
edit on 10-9-2012 by Symbiot because: (no reason given)