The effects of a bust will be rising unemployment, followed by bad debts, then debt deflation, and then finally falling asset prices.
Financial and business terms. 2012.
Debt deflation — is a theory of economic cycles, which holds that recessions and depressions are due to the overall level of debt shrinking (deflating): the credit cycle is the cause of the economic cycle. The theory was developed by Irving Fisher following the… … Wikipedia
Debt Deflation — A situation in which the collateral used to secure a loan (or another form of debt) decreases in value. This can be detrimental because it may lead to a restructuring of the loan agreement or the loan itself. Also known as worst deflation and… … Investment dictionary
Deflation — For other uses, see Deflation (disambiguation). Not to be confused with Disinflation. Economics … Wikipedia
Debt-to-GDP ratio — Government debt as percentage of GDP globally. (2009 estimates) … Wikipedia
Deflation — Unter Deflation versteht man in der Volkswirtschaftslehre einen allgemeinen, signifikanten und anhaltenden Rückgang des Preisniveaus für Waren und Dienstleistungen. Inhaltsverzeichnis 1 Auswirkungen 1.1 Direkte Auswirkungen 1.2 Indirekte… … Deutsch Wikipedia
Debt — For other uses, see Debt (disambiguation). Personal finance Credit and debt Pawnbroker Student loan Employment contract … Wikipedia
Criticism of debt — This article is about criticism of, and arguments against debt. There are many arguments against debt as an instrument and institution, on a personal, family, social, corporate and governmental level. Usually these refer to conditions under which … Wikipedia
collateral deflation — UK US noun [U] (also debt deflation) FINANCE ► a situation in which collateral becomes less valuable: »The most dangerous deflation is collateral deflation where the value of the collateral underlying the financial system plunges and destroys the … Financial and business terms
Collateralized debt obligation — Financial markets Public market Exchange Securities Bond market Fixed income Corporate bond Government bond Municipal bond … Wikipedia
Great Depression — This article is about the severe worldwide economic downturn in the 1930s. For other uses, see The Great Depression (disambiguation) … Wikipedia
