US Action News

The policies that are being employed to create the appearance of economic and market stability are not effectively addressing the underlying symptoms of economic malaise; in fact, they are exacerbating them.

The average 7th grader likely understands that he cannot spend more money than he has for years on end. The average economist does not.

The vast majority of people out there only believe what they want to believe. They don’t want to believe that a great economic crisis is coming, and so when it does happen they are going to be absolutely blindsided by it.

Some countries must choose between difficult and very bad, and others are faced with either disaster or calamity. Greece simply gets to choose what it wants to be the cause of a depression. Long and slow or fast and deep? Choose wisely. – Business Insider

In addition to the current Euro crisis Japan, the world’s third largest economy, could have its own debt crisis as early as 2012 bigger than the Euro Zone.

At this point, virtually the entire global economy runs on credit, so when this debt bubble bursts things could get really, really messy.

Four years after the financial crisis began and the world has certainly not returned to normal. No major developed economy has yet fully regained the output lost during the recession and global share prices remain almost a third lower than their peak prior to the crisis. – BBC

The combination of huge amounts of debt and huge amounts of leverage is incredibly toxic, and that is what we have all over the globe today. Almost every major nation is drowning in a sea of red ink and almost all of our major financial institutions are leveraged to the hilt.