Advertise | Bookmark | Contact Us | E-Mail List |  | Update Page | UraniumSeek.com 

Commentary : Gold Review : Markets : News Wire : Quotes : Silver : Stocks - Main Page 

 GoldSeek.com >> News >> Story  Disclaimer 
 
Latest Headlines

Gold Seeker Closing Report: Gold and Silver Gain with Oil
By: Chris Mullen, Gold Seeker Report

Gold Stocks Remain in Downtrend but Uranium Stocks on the Cusp of New Bull Market
By: Jordan Roy-Byrne CMT, MFTA

Sunsets in the Land of U.S. Dollar Hegemony
By: Michael Ballanger

Precious Metals Sector: It’s 2013 All Over Again
By: Przemyslaw Radomski, CFA

Rugby Initiates Drilling at San Antonio Gold Project, Colombia
By: Rugby Mining Limited

Merk Research - US Equity Markets
By: Merk Research

Silver Looks Poised To Move Soon
By: Hubert Moolman

Which Precious Metals Are Likely To Be Better Investments During The Next Market Crash?
By: Steve St. Angelo

Wall Street Keeps Cool As Tariff Threat Grows
By: Rick Ackerman

Silver Guru Video: “The End of Empire and End of Fiat Currencies”
By: GoldCore

 
Search

GoldSeek Web

 
Bubbles Everywhere...


 -- Published: Thursday, 22 February 2018 | Print  | Disqus 

By Harris Kupperman

About a year ago, I read The Great Beanie Baby Bubble by Zac Bissonnette. It details how basic human greed, an artificial sense of scarcity and newly created technology like eBay, were used to artificially inflate re-sale prices and convince otherwise intelligent humans to sink their life savings into plush toys that were being created by the millions at a price-point measured in the pennies. In fact, it isn’t all that dissimilar to the current bubble in crypto-currencies—another asset class with; thin trading volume setting the market price and new technology that enraptures investors, that is likely to prove entirely worthless at some point in the not too distant future.

It would seem that every time the Federal Reserve reduces interest rates for too long in order to bail out some past bubble they created, it leads to some new and bigger bubble that also needs bailing out (tech stocks in 2000, real estate in 2007, everything this cycle) along with some hilariously silly collateral bubbles along the way.

Image result for the great beanie baby bubble

With that in mind, last week, I was at a flea market (yeah, I’m a value guy who likes bargains) when I noticed multiple tables with Beanie Babies. I thought to myself; that’s strange—I haven’t seen one of these things in years. Why are all these adults paying so much attention to stuffed toys that were popular 20 years ago?

Naturally, I turned to my wife, who happened to be buying a few Beanie Babies for some cousin of ours.

Me: Why are you wasting money on those? Wait, …did you just buy like 10 of them?

Wife: Yeah, our cousin collects them. He says he has one that’s gone up 5 times in value, in just the past 3 months?

Me: Whaaahh??!!!

Vendor: Yeah. They’ve been out of print for two decades, even some of the real common ones are quite rare now.

Me: Whaaahh!!??? (practically with smoke shooting from my ears)

Vendor: Yeah, a few have gone from $5 to over $1500 in just the past 2 years.

Me: Holy Shit!!! That’s INCREEEEDIBLE!!! The Fed printed so much, they even managed to re-inflate the great Beanie Baby bubble of 1998 (at this point I’ve gone from abject shock to bemused laughter)

Wife: Maybe I should buy some more for our cousin. Sounds like they’re going up fast.

Me: …I’m going to get a beer. My head hurts

http://adventuresincapitalism.com/

 


| Digg This Article
 -- Published: Thursday, 22 February 2018 | E-Mail  | Print  | Source: GoldSeek.com

comments powered by Disqus



 



Increase Text SizeDecrease Text SizeE-mail Link of Current PagePrinter Friendly PageReturn to GoldSeek.com

 news.goldseek.com >> Story

E-mail Page  | Print  | Disclaimer 


© 1995 - 2018



GoldSeek.com Supports Kiva.org

© GoldSeek.com, Gold Seek LLC

The content on this site is protected by U.S. and international copyright laws and is the property of GoldSeek.com and/or the providers of the content under license. By "content" we mean any information, mode of expression, or other materials and services found on GoldSeek.com. This includes editorials, news, our writings, graphics, and any and all other features found on the site. Please contact us for any further information.

Live GoldSeek Visitor Map | Disclaimer

The views contained here may not represent the views of GoldSeek.com, its affiliates or advertisers. GoldSeek.com makes no representation, warranty or guarantee as to the accuracy or completeness of the information (including news, editorials, prices, statistics, analyses and the like) provided through its service. Any copying, reproduction and/or redistribution of any of the documents, data, content or materials contained on or within this website, without the express written consent of GoldSeek.com, is strictly prohibited. In no event shall GoldSeek.com or its affiliates be liable to any person for any decision made or action taken in reliance upon the information provided herein.