Tuesday, October 6, 2015

Next Recession driven by corporations

Corporate debt in a long term picture appears parabolic.  The trouble with parabolas is there is an end to the expansion, they don't turn over back on themselves.  Unless there is some kind of disruption in the space time continuum.  So don't count on it. {click on charts for clarity}

Corporate debt is really high as a percent of GDP, like 300%, and I think that will causes them to get more into a crisis mode than they would have during the next recession.

Last time it was the financial industry that was the crux of our problems.  But they are obviously better off than they were before.

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