“The recent period has been marked by a transformation to an economy that is more productive as competitive forces become increasingly intense and new technologies raise the efficiency of our businesses...While these tendencies were no doubt in train in the "old," pre-1990s economy, they accelerated over the past decade as a number of technologies with their roots in the cumulative innovations of the past half-century began to yield dramatic economic returns.” Has BeensPastForceNumbersHalfTechnologyEconomyDoubtEconomicCenturyReturnPeriodsRootsTransformationInnovationRaisesTrainDecadesIntenseTendenciesDramaticNo DoubtProductiveYieldEfficiencyOver The PastNew TechnologyCumulative Author:Alan Greenspan
“Beware leverage in all its forms. Borrowers - individual, corporate, or government - should always match fund their liabilities against the duration of their assets. Borrowers must always remember that capital markets can be extremely fickle, and that it is never safe to assume a maturing loan can be rolled over. Even if you are unleveraged, the leverage employed by others can drive dramatic price and valuation swings; sudden unavailability of leverage in the economy may trigger an economic downturn.” IfsShouldMayGovernmentRememberFormIndividualEconomyEconomicSafeAssumingCorporateDramaticFundMatureAssetsSwingsEmployedLoanTriggersDurationFickleLiabilityValuationDownturnBorrowersEconomic Downturn Author:Seth Klarman