Those so called financial assets are just a scam to rob average people off their money, when majority of the people were robbed, there will be depression and recession. But now when money can be created out of nothing at will, banks don't need to do this kind of scam any more, they can raise those financial assets' value forever using money out of thin air. And as long as people are still using fiat money to measure value, that game can last forever
There is a live show of central bank election: Greece crisis. Greece must decide if they still honor ECB to be their central bank, or they can say bye bye to ECB and setup their own central bank. The Greek people did not elect their central bank, but they elected a government who might be capable of setting up a new central bank thus totally reset the whole system
My guess is that ECB will never let them go. Print tons of euro and give it to Greece is much easier than set them free and become financially independent. However, ECB will never gain anything from enslaving Greece: They are so cunning that they just default
If Greece are set free from ECB's control, they will be as good as heaven, then everyone will understand what is the root cause of Greece's problem
There will be depression/recession when the public realize the financial assets are way over-valued *and* this time the market wins because the authorities can no longer keep reality from being reflected by prices.
You should give people (and especially relative savvy, rich investors who tend to lead the way) more credit when it comes to realizing that currency can be over-valued too. Money is just another financial asset. When its value buys less and less, people always take notice and take action. Your view of money being always trusted as a measure of value is likely rooted in the lack of obvious and severe consumer price inflation in the modern West (except for a brief period in Weimar Germany.) This is a historically specific set of conditions, not a general one. The immediate driver of the Great Depression was that Europeans, led by the rich, no longer trusted the value of their money and speculated in dollars and US stocks, as well as converting their cash to gold.
