Ample liquidity, low inflation and strong growth are the perfect ingredients for sustained asset-price inflation.
Here is one description of the new paradigm: "... [T]he younger workers around the globe will use their increased savings to buy the assets of American seniors as they grow older, thus offering liquidity to our retirees, sustaining U.S. asset prices, and expanding U.S. opportunities". That was said by Michael Milken, the father of junk bonds; quoted admiringly by George Gilder.
In a detailed paper critiquing the WG1 Summary for Policymakers, Wasdell revealed that: "Greatest pressure to establish grounds for the highest possible budget came from those countries whose national economy, political power and social stability depend on sustaining the asset value and production revenue derived from exploitation of their resources of fossil energy.
But the sections of the report published by the ABC did not suggest shutting those communities down, instead saying "investments will be limited to sustaining existing assets and services".
It was the flow of Chinese dollar reserves earned from trade back into U.S. Treasury bills and mortgage-backed securities that held down long-term interest rates in the U.S. and enabled and sustained the asset bubble.
In the lack of formal pension plans, older people must expend a great deal of effort to sustain the asset base of their own household and their children's households.
The role of assets in sustaining livelihoods, and within the asset set, the importance of recently-recognized assets, like social capital.
In other words, pastoralists and other landholders host the majority of Kenya's wildlife populations, sustaining the key asset in the national tourism industry (Norton-Griffiths 2007).
Or are the bulls correct when they speak of a New Economy that can grow without danger of inflation and is capable of sustaining much higher asset prices?
The Digital Curation Sustainability Model DCSM) (2015): JISC-funded project to highlight the key concepts, relationships and decision points for planning how to sustain digital assets into the future.
