The genesis bubble was an economic bubble covering the onset of the Triumvirate economy (April 2012) until November 2012. It was the result of excitement over the untried economy, speculation as to the appropriate value of the tri, the influx and rapid coinage of additional tri, and lack of stable monetary and fiscal policy.
The Bubble BurstsEdit
The genesis bubble burst in November of 2012, with a large drop in overall spending from the months prior. In December, it only got worse, and overall spending fell even more.
It is generally accepted that the bubble burst (and that the effects were so significant) for three reasons:
- The novelty of the economy's release and businesses within it finally wore off.
- The creation of the Tax Code in late November, subsequent First Nation Consulting vs. The Universal Triumvirate case, and eventual amendment imposing a tax in December.
- Major Executive Stavrok's losing reelection in December. He was also the father and mind behind the entire economic system, him leaving office caused some to be less trusting and opportunistic in the new economy.
The bursting bubble resulted in a 70% decrease in GDP from 2012-III to 2013-I, causing a major recession in the Triumvirate economy. The economy did not recover in terms of production until 2014-I due to Major Executive Maine's 2013-II Economic Stimulus and Infrastructure Investment Act and government emphasis on recruitment incentives.