The U.S. government’s $33-trillion debt is the result of “unsustainable” fiscal policies, the International Monetary Fund (IMF) has warned, and is the “most worrying” among the world’s major economies, IMF research director Pierre-Olivier Gourinchas said in a 3 October press briefing.
Aside from the early days of the Great Recession, credit card issuers are seeing their losses mount at the fastest rate since the mid-1990s, CNBC reported.
The amount of money owed by governments, businesses, households, and individuals grew by $10 trillion in this year’s first half to a record $307 trillion, the Institute of International Finance (IIF) said in a 19 September report.
Americans have charged a record $1 trillion to credit cards and other forms of revolving debt, the Federal Reserve Bank of St. Louis announced last week.
“The world’s central banks are responsible for creating a “market” for their product, “currency backed by nothing,” by fostering a population boom and consumers who are dependent on their product.” —GM
Today, at its core, the world financial system is in crisis. More specifically, liquidity in the system is drying up. What this translates to is this, without world central banks both issuing, and then buying back exponentially more debt the entire system implodes.
If central banks do not find another mechanism to continue to inflate, IMMEDIATELY, the entire global financial system will melt down.