Special Bulletin - September 2011
... 1. The 40 - 50 year cycle of consumer and government debt accumulation, and the use of credit and debt to fund extra growth in the developed economies, along with richer social safety nets, has now run its course. Less generous social safety nets and lower growth lie ahead. 2. The aggressive and hig ...
... 1. The 40 - 50 year cycle of consumer and government debt accumulation, and the use of credit and debt to fund extra growth in the developed economies, along with richer social safety nets, has now run its course. Less generous social safety nets and lower growth lie ahead. 2. The aggressive and hig ...
Great Depression II (averted)
... Short-term Precipitates • House prices slow Irresponsible investment banks collapse Banks stop lending to each other Economy freezes, stock market falls 7% ...
... Short-term Precipitates • House prices slow Irresponsible investment banks collapse Banks stop lending to each other Economy freezes, stock market falls 7% ...
Household debt
Household debt is defined as the amount of money that all adults in the household owe financial institutions. It includes consumer debt and mortgage loans. A significant rise in the level of this debt coincides historically with many severe economic crises and was a cause of the U.S. and subsequent European economic crises of 2007–2012. Several economists have argued that lowering this debt is essential to economic recovery in the U.S. and selected Eurozone countries.