Global Debt And The Game Of Dominos

Global Debt And The Game Of Dominos

In what the Financial Times calls a “poisonous combination,” slow growth and record debt are set to send the global economy into a downward spiral. This periodical cites the Geneva Report’s conclusion that, unless governments are prepared to maintain
low interest rates for a very long time, another economic crash will likely occur. It is yet to be seen what impact this Report will have on those nations preparing for an annual conference to discuss the weakening global economy and prospects for economic recovery, particularly since this event will occur on the heels of the U.S. Federal Government’s announcement that it may raise interest rates next year. As tension over debt continues to mount, Americans can hope only that they will be able to escape the economic malaise that threatens to spread with domino effect as nations continue to respond to slow economic growth by recklessly raising record debt – that ghastly “poisonous combination.”

 

Click here to read the full Financial Times article. 

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