Liam Lenten

Liam LentenLiam Lenten is a former academic with over 20 years’ full-time research and teaching experience in both macro- and microeconomics. He has previously published 40 articles in peer-refereed journals, 2 books, and 5 book chapters; as well as earning many research grants. Having completed his PhD in 2006, he has since undertaken several visiting positions at such esteemed international Universities, such as MIT, Michigan, Lancaster, Exeter, Otago and Monash. He is also a regular news media contributor on economics and related issues.

Papers Published in World Economics:

Bitcoin, Tesla and GameStop Bubbles as a Flight to Focal Points

This article discusses the current bull runs in many assets such as Bitcoin, Big Tech and the meme stocks, concluding that they are very likely bubbles (well above their fundamental value). We then highlight a unique set of circumstances due to which the duration, magnitude, and subsequent correction of this market exuberance may be very different from previous bubble episodes. These circumstances have led to an ever-growing amount of global liquidity chasing a small number of widely-known assets that have played the role of Schelling’s ‘focal points’. In combination with extremely low (even negative) returns on conventional safe assets, the usual ‘flight to safety’ has been (partly) superseded by a ‘flight to focal points’.

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