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Leverage: The difference between linear and exponential growth

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The word leverage evokes the imagery Bankers Gone Wild. There are the Barbarians who stormed the gates of RJR Nabisco during the 1980s leveraged buy out. There are the Failed Geniuses from Long-term Capital who leveraged Russian Bonds that ended up defaulting in 1998. And there’s the leveraged homeowner, coerced by their mortgage bankers into … Leverage: The difference between linear and exponential growth Read More »

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