RT Journal Article
SR Electronic
T1 A Way Forward
JF The Journal of Wealth Management
FD Institutional Investor Journals
SP 10
OP 16
DO 10.3905/jwm.2009.12.1.010
VO 12
IS 1
A1 Dean LeBaron
A1 Walter Deemer
A1 Mark Ungewitter
YR 2009
UL https://pm-research.com/content/12/1/10.abstract
AB This article puts recent market behavior into historical context. The authors review several explanatory theories based on long-term market cycles. Assuming that these long-wave boom-to-bust cycles will persist, they consider implications for financial market structure and government policy. In summary, they agree with the following “Austrian”economic principles:1) the boom causes the bust; 2) the bust is proportionate to the boom; 3) major intervention is likely to cause major unintended consequences; and 4) sound money is the best policy in all environments. They conclude with some thoughts on monetary reform and offer a potential way forward, and hope and expect that this article will stimulate more research in long-wave studies and solutions that might arise from them.TOPIC: Financial crises and financial market history