Virtuous Circle And Vicious Circle
A virtuous circle and a vicious circle (also referred to as virtuous cycle and vicious cycle) are economic terms. They refer to a complex chain of events that reinforces itself through a feedback loop. A virtuous circle has favorable results, while a vicious circle has detrimental results.
Both circles are complexes of events with no tendency towards equilibrium (at least in the short run). Both systems of events have feedback loops in which each iteration of the cycle reinforces the previous one (positive feedback). These cycles will continue in the direction of their momentum until an external factor intervenes and breaks the cycle. The prefix "hyper-" is sometimes used to describe these cycles if they are extreme. The best-known example of a vicious circle is hyperinflation.
Read more about Virtuous Circle And Vicious Circle: Vicious Circles in The Subprime Mortgage Crisis, Other Examples
Famous quotes containing the words virtuous, circle and/or vicious:
“In a virtuous government, and more especially in times like these, public offices are, what the should be, burthens to those appointed to them which it would be wrong to decline, though foreseen to bring with them intense labor and great private loss.”
—Thomas Jefferson (1743–1826)
“... in any war a victory means another war, and yet another, until some day inevitably the tides turn, and the victor is the vanquished, and the circle reverses itself, but remains nevertheless a circle.”
—Pearl S. Buck (1892–1973)
“Every day confirms my opinion on the superiority of a vicious life—and if Virtue is not its own reward I don’t know any other stipend annexed to it.”
—George Gordon Noel Byron (1788–1824)