Bubbles Quote by Mark Zandi
“At the center of every recession is a serious imbalance in the economy and mirrored in the financial system. Think subprime mortgage and the Great Recession, or the technology bubble and the early 2000s recession. There are no such imbalances today.”
About This Quote
Source Report: Economic Outlook, 2023
Recessions stem from economic imbalances reflected in finance, but current data shows no such imbalance.
In simple terms: Recessions need imbalances; none now.
Monitor systemic risks.
Themes
Mood
Type
When to use this quote
- investment strategy
- government planning
- risk management
Key Concepts
Questions to Reflect On
- What early signs should we watch?
- How can policy pre‑empt hidden imbalances?
Hidden factors could still trigger downturns.