So the answer is:
No one fucking knows 
What do you mean, "No one fucking knows?". What else could happen, except for the leading crypto currency (and we all know what that is) to go to Pluto.
If you are a keynsean, like I am and most experts are, Crypto Currency will start amplifying the extremities of economic cycles. We will start having depressions again. In the past, the best place to isolate wealth from decline, has been US T bonds. EVERYTHING else just goes down. Governments then print more money to fill the demand, and pay for things like $2000 to destroy good cars, and building bridges to nowhere, bying air craft carriers for war, trying to get the economy to go again.
The only reason Gold didn't go up more, is because higher prices of Gold produce a LOT more of it, especially if it is expected by Gold miners, investing in more gold mines.
But now there is something that has never existed before. Something of value with a truly limited supply.
The next time we have a "GREAT RECESSION" governments are going to try to repeat the process of spend us out of deflation, but they will no longer be able to do that, because of BitUSD. And even better, by then, there will be even more reliable fixed value crypto assets that will not decrease in value, like BitUSD, but will freely increase in value, significantly.
The next "great recession", (I predict there will be another short, at least, depression) will be very different than anything in the past. Everyone will sell EVERYTHING, stocks, real estate, cars, bonds, fiata currencies, people will stop eating, attempting to get any money they can, to put into BitsharesX which will be rocketing to Pluto. And of course, the bubble will then pop, once everyone is finally starving to death, and must start selling some of their BiytsharesX to eat. But things will level out somewhere around Mars.
Its not going to happen like that. "History does not repeat, it rhymes" - Mark Twain
The US Federal Government Deficit is under 4% right now.
The "Great Recession" occurred because of sub-prime mortgages causing a nuclear bomb reaction by first bankrupting Bear Stearns and then Lehman Brothers.
However, Bear Stearns was bailed out but Lehman Brothers had an asset book of $600 billion and they had to sell sell sell. Same with AIG but they had a huge derivative portfolio and were bailed out, but still lost about $100 billion (Yes with a b) dollars.
Sub-prime mortgages were mortgages to people with bad credit that had higher interest rates that could not be paid back. Why was this a problem? This inflated housing prices (was one of the big reasons) causing people to excessively (foolishly) take out LOC (Lines of credit) from there bank.
The next time there is a "recession" it will not be from the private sector but from the government debt problem (I am assuming).
Topic: Stock market crash (Read 5381 times)
