misallocations

Knowledge worker temporary misallocation errors are far cheaper to correct than capital factory building misallocations.

Lessons of the Great Depression, Arnold Kling | EconLog | Library of Economics and Liberty 2009

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

Lessons of the Great Depression, Arnold Kling | EconLog | Library of Economics and Liberty 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.

How American Health Care Killed My Father 2009

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

Competing to Be Impartial Jamie Whyte 2012

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.

Matthew Yglesias » When to Worry About Inflation 2010

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.

How American Health Care Killed My Father 2009

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: Frydman and Goldberg's Beyond Mechanical Markets Robert Teitelman 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: Frydman and Goldberg's Beyond Mechanical Markets Robert Teitelman 2011

The Fed's near zero interest rate policy causes many misallocations of resources.

Robert Auerbach: The Bernanke Fed Plans to Give Large Banks Billion Dollar Annuities 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.

Matthew Yglesias » Fama: Bank Failures Could Have Been Sorted Out “In a Week or Two” 2010