Misallocations

Knowledge worker temporary misallocation errors are far cheaper to correct than capital factory building misallocations. ❋ Unknown (2009)

Asset bubbles are massive misallocations of resources. ❋ Unknown (2011)

However, because market participants must base their trading decisions on imperfect knowledge, asset price swings can sometime become excessive and lead to misallocations of capital. ❋ Robert Teitelman (2011)

Like the standard business cycle, drug money creates booms, busts, and misallocations of investments and resources. ❋ Steve Mariotti (2011)

In 2000, the dot. com bubble burst mostly financial paper wealth w/o huge capital misallocations, except telecom overbuilding bandwidth. ❋ Unknown (2009)

These bureaucracies first must notice market changes and resource misallocations, and then (sometimes subject to political considerations) issue additional regulations or change reimbursement rates to address each problem retrospectively. ❋ Unknown (2009)

As I have already said today, experience has shown that, despite good intentions, maintaining excessively low interest rates for a lengthy period runs the risk of creating new kinds of asset misallocations, more volatile and higher long-run inflation, and more unemployment — not today, perhaps, but in the medium - and longer-run. ❋ Unknown (2010)

In such a policing market there would be no place for any slack practice, including misallocations of resources or poor recruiting motivated by racism. ❋ Jamie Whyte (2012)

The Fed's near zero interest rate policy causes many misallocations of resources. ❋ Robert Auerbach (2011)

Once there has been money dilution, there is going to be an inevitable bust due to the price and investment misallocations arising from the injection of the funny money. ❋ Unknown (2010)

These misallocations of capital don't create the collective mistakes in predictions that generate financial crises. ❋ Unknown (2010)

But the misallocations do mean that society loses a lot from those mistakes -- a lot more than is efficient. ❋ Unknown (2010)

"i'm [saying] this new [definition] of 'online [verb] misallocation' to people" ❋ Schizo Bubble (2008)