The only way out of a credit bubble once it has begun is either voluntary withdrawal from credit creation (stopping unproductive lending) with acceptance of deflationary consequences resembling or exceeding the Great Depression, or hyperinflation of the currency—these are the only two equilibria, as stated by Austrian economist Ludwig von Mises.
factualpending
Speaker
Luke GromenEvidence Quote
“either you stop the credit growth, you stop the credit bubble for unproductive things, and you deal with the economic and political consequences of something that makes the Great Depression look like a tea party or you hyperinflate the currency.”
Created: 8/12/2026, 10:18:48 PM
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