| If you study the patterns of history, you find interrelated cycles in which global economic and political orders rise and inevitably break down due to specific cause-effect relationships playing out through time. In my research, I’ve found that when you have the combination of the monetary order breaking down — like a debt crisis — and the internal political order breaking down, you have a very serious situation. I believe we are facing one of these inflection points today. With our current levels of prosperity, it can be difficult to see this happening in real-time. But when you step back and look at the mechanics, the broader picture begins to emerge. I recently had the opportunity to discuss this perspective with the IMF. And for those who are interested, I dive into what these mechanics are and how they work in my new book, How Countries Go Broke: The Big Debt Crisis — specifically Chapter 8. I hope you read it and let me know if you see things the same way. #principles #howcountriesgobroke #economics |
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