ziaulislam
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- Apr 22, 2010
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Called boom and bust cycle due to political cashing of final years of cycle because thats what gets you reelected because thats WHAT EDUCATED PEOPLE WANT۔۔۔
To summmarize this in simplest possible way
"Result of high fiscal deficit, state bank lending (printing notes), and low saving(due to artificially low interest)..such policies will give you boom due to govt spending ( printing notes, high captial due to loans/deficit & low interest) but will always result in bust (when printing notes & low saving effects kicks in)which is bigger than the boom..third consecutive time PMLN did this in 1990s, 1998 & 2018..let see whether they will do it again in 2028..."
To summmarize this in simplest possible way
"Result of high fiscal deficit, state bank lending (printing notes), and low saving(due to artificially low interest)..such policies will give you boom due to govt spending ( printing notes, high captial due to loans/deficit & low interest) but will always result in bust (when printing notes & low saving effects kicks in)which is bigger than the boom..third consecutive time PMLN did this in 1990s, 1998 & 2018..let see whether they will do it again in 2028..."