Money may no longer be the most common thing in the world!
Central Banks are being forced to rein in their money supply to stop the rampant inflation in commodities. Of course they didn't see a problem when the inflation was confined to stocks and real estate!
BUT NOW MONEY IS SCARCE AND GETTING SCARCER...
AND IF EVERYONE TRIES TO "LIQUIFY" THEIR ASSETS...AT THE SAME TIME...A CASH SHORTAGE LOOMS.
All assets are priced "as if" the last sale was the price you could get for your asset. But naturally that isn't true...
The last sale is simply the last sale...and if everyone decides to sell at the same time...you sale price could be much much less... Sooner or later a cash shortage develops because, like the banks, the system is set up ASSUMING that everyone doesn' come in and ask for cash at the same time.
So in that regard a market panic is like a "run on the bank"...only a few people "get their money" and the rest are stuck holding their assets in a rapidly falling market.
