Austrian business cycle theory postulates that business cycles are caused by the misallocation of resources from consumption to investment during " booms ", and out of investment during " busts ".
22.
Austrian economics see general gluts as caused by misallocation of resources in the years leading up to the crisis, and the ensuing depression as necessary cleansing or purging of the excesses as the economy adjusts.
23.
This leads to a " distortion of behaviour and misallocation of resources that can have negative, damaging effects on economic efficiency, productivity and economic growth in the medium and long run ", said the bureau.
24.
Within Austrian economics, economic bubbles are generally considered to have a negative impact on the economy because they tend to cause misallocation of resources into non-optimal uses; this forms the basis of Austrian business cycle theory.
25.
"The vast majority of Iraqis know that the autarkic policies of the former regime, the horrible distortions of the economy, the misallocation of resources, the rampant corruption of the past has destroyed their standard of living, " he said . ( jvrb-pfg)
26.
"Indonesia has committed itself not only to the continuation of appropriately tight financial policies and to a bold restructuring plan for the financial sector, but is also attacking . . . . . monopolies and the misallocation of resources that are serious impediments to economic progress, " he said.
27.
This was perceived as a drastic misallocation of resources and became a serious point of contention among the prison directors, politicians from their respective countries, and especially, the West Berlin government, who were left to foot the Spandau bill yet suffered a lack of space in their own prison system.
28.
The Court saw a misallocation of resources in allowing " relitigation of issues where that can be achieved without compromising fairness in particular cases . " It is no " longer tenable to afford a litigant more than one full and fair opportunity for judicial resolution of the same issue ."
29.
The G-24 also noted that the " growing U . S . external imbalance and the diversion of a substantial portion of the world savings from developing countries to the largest and highly capitalized economy constitute a misallocation of resources and pose a serious short-and medium-term challenge for the international economy ."
30.
Yet the limited budget allocated for infrastructure, education and health is squandered through graft and corruption and misallocation of resources for low-priority but high-visibility projects . Unfortunately, under a regime where grafters are simply asked to resign, rather than face prosecution and jail, no dramatic improvement in the lives of the common tao is in sight.
