Bill Mitchell — Precarious Somebody Remainder Sheets Driven Past Times Financial Austerity Is The Problem

The media has been giving a lot of attending inward the terminal calendar week to the 10-year anniversary of the Lehman Brothers crash which occurred on September 15, 2008 as well as marked the realisation, later months of denial, that in that place was a financial crisis underway. Lots of articles convey been published of late almost what nosotros convey learned from this historical episode. I idea that the Rolling Stone article past times Matt Taibbi (September 13, 2018) – Ten Years After the Crash, We’ve Learned Nothing – pretty much summed it up. We convey learned really little. Commentators notwithstanding laid upwardly the crisis every bit a sovereign debt occupation as well as require that governments cut financial deficits to plow over them ‘space’ to defend the economic scheme inward the side past times side crisis. They are every bit good noting that the repose sheets of the non-government sector components – households as well as firms – are looking rather precarious. They every bit good necktie that inward amongst apartment reward increment as well as a run downwards inward theatre saving. But the link betwixt the financial information as well as the non-government borrowing information is never made. So nosotros are moving headlong into the side past times side crisis amongst really petty agreement of the human relationship betwixt authorities as well as non-government. And nosotros are increasingly relying on mortal sector debt buildup to fund increment every bit governments retreat. Everything almost that is wrong....

Bill Mitchell – billy blog
Precarious mortal repose sheets driven past times financial austerity is the problem
Bill Mitchell | Professor inward Economics as well as Director of the Centre of Full Employment as well as Equity (CofFEE), at University of Newcastle, NSW, Australia