From Subprime and Eurozone Crisis with Full Speed into the Next Financial Crisis

Abstract

This paper offers an analysis of the road from subprime and eurozone crisis to the elements of a new systemic crisis. Our aim is to research common issues that accompany each of these crises and to explore elements that hint that the financial systems are moving toward a new crisis. By holding short-term interest rates near zero, the central banks have encouraged malinvestment and speculation. Fuelling the bubble is the fear of missing out on trade. We find that actual events and movements on security markets follow a typical pattern, which indicates a serious threat for the next financial crisis. We also find enough signs that old crises lessons haven't been learned.

Helping Youth Athletes Thrive: An Exploratory Study of the Youth Tennis Market in New Zealand

“…Therefore, it is important to identify the current phase of the economic cycle. The 'Warren Buffet indicator', which compares the total market value to gross domestic product in the United States of America, is considered to be a key valuation metric (Strašek, 2017). Values in excess of 100% indicate overvaluation in the market and suggest a recession is likely to occur in the near future (Strašek, 2017).…”

“…The 'Warren Buffet indicator', which compares the total market value to gross domestic product in the United States of America, is considered to be a key valuation metric (Strašek, 2017). Values in excess of 100% indicate overvaluation in the market and suggest a recession is likely to occur in the near future (Strašek, 2017). At 31 March 2019, the Warren Buffet indicator was 141%, indicating a significantly overvalued market.…”