Yea, experts says what goes up must come down. -.- But i do not understand why the economy cannot be good forever. Any one can explain?
Me no expert
But will try to explain
Most things in cycles ,
What goes up must come down
what goes down must come up .
We have Property 10yr cycle,
Stock market Bull-bear-bull-bear cycle.
Let me try to explain in my limited language .
a buy at 1
b buy at 1+1
c buy at 1+3
Everyone finds 1+3 too expensive and dun buy
After some times c finds 1+3 too expensive as he cannot sell
c sell at 1+1 (losses)
everyone still finds 1+1 too expensive and dun buy
after some time b finds 1+3 too expensive as he cannot sell
b sells at 1 (losses)
Along the way a could have sold at 1+1 or 1+3
It's called a Equity bubble and when it burst things get ugly .
Hope you can understand .