ISSN (Print) - 0012-9976 | ISSN (Online) - 2349-8846

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Debts That Cannot Be Paid Will Not Be

Total global debt has increased, growth has been slowing down since the onset of the global financial crisis in 2007 and has been rapidly decelerating after 2012. This may be a sign that the world has arrived at its debt carrying capacity or has even crossed it, meaning that capitalism is probably already insolvent.

With my June 2015HT Parekh Finance Column article titled “When Will the Next Financial Crisis Start?” (Öncü 2015a) I initiated an investigation of the possibility of a new phase in the ongoing global financial crisis (GFC) that started in the summer of 2007. This article was retitled at the Policy Research in Macroeconomics website as “What Straw Will Break the Finance Sector’s Back?” when it was republished three days later (Öncü 2015b).

The next two articles in the series were my February 2016 article titled “Has the Crash of the Global Financial Markets Begun?” (Öncü 2016a) and November 2016 article titled “It’s the Private Debt, Stupid!” (Öncü 2016c).

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Updated On : 17th Jul, 2017

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