Boom and bust cycles fueled by greed from "summary" of The Money Culture by Michael Lewis
The idea that financial markets are driven by cycles of extreme growth and collapse is not a new one. Throughout history, we have witnessed this pattern time and time again. What distinguishes these boom and bust cycles is the role that human greed plays in fueling them. When times are good and profits are soaring, individuals become consumed by the desire for even greater wealth. They take on more risk, make more aggressive investments, and ignore warning signs that indicate a potential downturn. In their pursuit of ever-increasing returns, they lose sight of the bigger picture and become blind to the inherent risks of their actions. This unchecked greed sets the stage for the inevitable bust that follo...
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