With economists signalling warning signs of a next great economic collapse, some of the ingredients that could combine to trip things seem to be assembling.
When the greedy banking titans collapsed, central banks slashed interest rates and generated billions in Government debt to end the immediacy of the emergency, that was tenable when those interest rates were minimal, but the growing pressure of inflation and over inflated equity markets are forcing those rates up.
The danger now becomes the ability to service that debt.
Flash points are looming that could trigger things sooner rather than later.
The over heated American economy, thanks to Trump’s feckless tax cuts, has produced pressures that will force inflation up and his trade war with China will create enormous costs to consumers while tripping China into a recession. The current game of chicken being played out in Italy risks economic suicide by democracy, and the inane attack on Iran will not only spike oil costs, it could provide a new front against China.
With Trump claiming China is attempting to interfere in the upcoming mid term elections, the speed with which mistakes could compound ignorance and collapse the entire house of cards is higher than ever before.