Speculation, destructive (destructive speculation)

The repeatedly made claim that speculators put securities or even entire states into predicaments through their decisions. – It is easy to see that the cause is confused with the effect. If speculators respond to unfavorable circumstances in a company or in a state, then these unfavorable circumstances should be amended and rectified. The fact is that speculators have often enough forced improvements that boards of companies and politicians have put off for years. As an example, Greece, whose move toward sovereign default in 2010 was barely reprimanded by EU authorities for years. It was only when risk premiums on Greek government bonds reached troubling levels that there was any movement toward repairing Greece’s sovereign finances. – See Bail-ins, central bank, bail-out, Soros speculation, sovereign debt, constitutional article one, competitiveness, effects.

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University Professor Dr. Gerhard Merk, Dipl.rer.pol., Dipl.rer.oec.
Professor Dr. Eckehard Krah, Dipl.rer.pol.
E-mail address: info@ekrah.com
https://de.wikipedia.org/wiki/Gerhard_Ernst_Merk
https://www.jung-stilling-gesellschaft.de/merk/
https://www.gerhardmerk.de/