The global economy is sinking. From Matthew Piepenburg at vongreyerz.gold:
For centuries, philosophers have compared the great questions (and mysteries) of life to a circle.
That is: To fully understand the circle, you must also recognize its arcs, and to fully understand the arcs, you must see the circle.
The fancy lads call this paradoxical “tying together of all things” hermeneutics.
But we don’t need fancy phrases to call out a global financial system losing all credibility, options and happy endings.
When it comes to the “circle” of an increasingly apparent economic collapse, the systemic, mathematical and historical “arcs” of this dying economic/financial/social sphere are becoming easier for all of us to both feel and see.
A Circle of Systemic Implosion
But to make this real (rather than philosophical), let’s put these evidentiary “arcs” in their proper place so that we can all objectively recognize the circle of systemic implosion knocking on our doors.
ARC 1: Debt
As we’ve been writing for years, the patient-zero from which all the ripple effects of systemic implosion emanate is tragically simple and historically confirmed, namely: Debt.
When nations cross the Rubicon of 100% debt to GDP, growth slows by a third.
As that ratio increases, growth becomes a fantasy. In short, and as David Hume warned centuries ago: Debt destroys nations.
Debt in the US is at historical, unprecedented and also unsustainable levels.
If Hume was right, then Uncle Sam faces serious problems now and ahead.
But what’s even scarier about debt destruction today is that the problem is not just American, it’s global.
The best government money can buy works for foreigners and can’t wait to wipe it all out for the CBDC workers utopia?
Clown World makes me so horny.