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Abridged summary of soc.culture.hmong@googlegroups.com - 2 updates in 1 topic

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Mr. B1ack <nowhere@nada.net>: Nov 18 09:37PM -0500

>> turned into a sophisticated—and dangerous—Ponzi scheme and the high-stakes
>> losers are employees and limited partners.
 
>Sounds like fodder for "American Greed" on CNBC...
 
Mmmmmmm .... he may not be as far off the mark as
we'd like to believe.
 
Start-ups generate temporary wealth, which is then
used to fund more start-ups and so on and so forth.
Thing is, the longer-term pay-off may not actually
cover the all the bills. At some point the theoretical
profits will get so far ahead of the realized profits
that people or lenders will start to freak out - and
the whole pyramid collapses.
 
It's kinda like the property-values leading up to 2008.
So long as everyone *believed* they could flip the
properties for a good profit .... well .... at SOME point
they just weren't gonna be able to.
 
And *BOOM* .......
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