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The Bernkanke Boom/Bust: Which sectors are most affected?

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Chris posted on Tue, Jun 12 2012 7:16 AM

It seems clear that we are currently experiencing a boom: the "Bernanke boom". Like all booms, it will go bust at some point, see http://mises.org/daily/6054/The-Bernanke-Bust by Michael Pollaro. 

My question is the following: What are the sectors that are currently experiencing the most inflation?  Related questions would be: Which sector will go bust first, and which sectors will be hit the hardest? I would imagine government bonds would get hit really hard when interest rates go up. What effects will that have?

Do Austrian economists currently make predictions regarding the answer to these questions? 

I find these questions to be difficult to answer, because the bubble is not as "visible" as, say, the dot-com boom.

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Well, if as it seems there is a bubble in the bond market, the bubble is the government itself.  The bust, therefore, would most greatly effect anything and everything funded by government and those industries that rely on government money creation, i.e. banks, and other areas of finance.  But who knows what the state would do to preserve itself in such a scenario...

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