January 26, 2018
A recent IMF study of 300 years of financial history has found crucial support for socionomic theory.
In a survey of ten of the “most infamous financial booms and busts since the 18th century,” the study uncovered a consistent pattern in which authorities introduce financial regulations after a bust and then relax or repeal financial regulations after a boom—followed by another round of regulations after the boom ultimately goes bust.
Socionomists have long noted how social mood infuses regulators and speculators alike with optimism during bull markets and with fear during bear markets. Recent calls to repeal the Dodd-Frank financial regulations while stocks sit at all-time highs is merely the latest chapter in this centuries-old saga.
Read more of our take on the timing of investment legislation
If you look closely, you can see patterns in social mood that help you predict social trends. Learn more with the Socionomics Premier Membership.
The Socionomist enables you to see trend-shaping waves of social mood, as reflected by the stock market — and capitalize on them. The June issue looks at phases of social mood and features a “Research Roundup,” which highlights five academic studies that shine a light on important aspects of socionomic theory. Mood Riffs topics include “quiet luxury,” loneliness, the Writers Guild strike and efforts by countries to trade in currencies other than the U.S. dollar. Read the June issue when you become a Socionomics Premier Member.
