The state of the world economy

Posted: March 9, 2015 in Economics, Monetary System
Tags: , ,

Is this a new normal, or the just the pre-cursor to another major crisis? Experts haven’t been able to agree on the full impact of the massive stimulus packages, ultra low or negative rates and slowing emerging markets.

Under most text book senarios, the easy credit effected since 2008 should lead in the long term to high inflation, unless other parts of the economy are severly shattered and demand levels will never recover.

A couple of facinating articles shed some light on these changing trends and attempt an explanation;

…brink of a second credit crisis

…once in a generation transformation

How central banks have lost control of the world

 

 

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