Post
Topic
Board Economics
Re: How FOMO Hurts the World's Poor
by
retreat
on 19/07/2025, 18:14:05 UTC
You made a very good point and I agree with that. Because I see the situation in my own country, Indonesia, where our government has experienced several times of "FOMO" and it is causing serious problems in the economy. Like a few years ago at the time of the electric car trend, the price of nickel is so high, and as a country with one of the world's largest nickel reserves, our government is investing heavily in nickel, in the hope that in the coming year the country can get a good return from it. But due to the surplus of nickel supply, the price of nickel globally dropped drastically, causing the price to be very cheap in the last few years, and it caused a significant impact on our nickel industry, several smelters had to close, thousands of employees were laid off, and the shares of several large nickel companies dropped, causing losses to investors.

This problem is increasingly widespread with nickel companies that are allowed to operate, apparently importing nickel ore from outside, not mining in the country. The mines that once produced nickel, many were closed, and abandoned, causing environmental problems. And the other thing is, a lot of electric car batteries these days don't use nickel, but LFP, which is further aggravating our nickel industry.

This is one example of how the government "FOMO" on one trend and only think about the benefits, but do not really understand the big risks that haunt the policy.