The World is Reaching the End of the Debt Super Cycle
We are coming to the end of an era; a debt era that has continually picked up steam and accelerated since the 2008 financial crisis. Since the United States got off the gold standard in 1971, we have seen an explosion of debt at all levels of the global economy. From government debt, consumer debt, investment corporate debt, junk corporate debt, student debt, to emerging market debt; the list goes on. When the global economy went pure fiat (referring to government issued currency) in 1971 it meant that nothing backed the fiat dollars and other currencies in circulation, so governments could defacto print as much money as they wanted.
Back in the 1980s there was a period of financial liberalization; Ronald Reagan, Margaret Thatcher and other leaders deregulated financial markets. This, combined with a pure fiat system, became a perfect scenario for the financial markets as a whole. The financialization of New York, London, along with currencies that could be printed limitlessly, resulted in great prosperity in the financial and credit markets.
For the last 10 years, the explosion of debt and ease of money printing has caused global stock market and property market expansion. However, it has also left governments worldwide vulnerable to a large downturn in the economy. The end result of these bailouts is grim; the impending downturn will inevitably bankrupt affluent Western nations and send shockwaves through second tier economies.
In THE NEXT WAVE, Skiarica convincingly argues we are nearing the endgame of this debt super-cycle and the "Corona Crash" is the catalyst for the impending transition. Since 2009, we have seen a gross acceleration of the aforementioned debt bubble. During the worst periods of the 2008 financial crisis, governments saw an explosion in deficit spending to keep economies afloat, and in many cases had to rack up enormous deficits in order to bailout the financial system.
Nowhere is this more apparent than in the United States, the global superpower and largest economy in the world, where nearly ten years into an economic expansion, deficits were running over $1 trillion (nearly 5 percent of GDP prior to 2008). This failure to properly manage deficits in a time of economic prosperity leaves us in a position to increase our debts to 3-4 trillion or nearly 15 to 20% of GDP as the government attempts to bailout the economy!
With all that being said, this book is not all doom and gloom. While the current state of the global economy is indeed alarming, you must not let the failure of large governments and multinational corporations to properly manage their funds negatively affect your investment decisions. In fact, quite the opposite - with the bursting of the bubble, great opportunities will arise for the informed investor. The world financial system is experiencing serious changes in terms of emerging technologies, fluctuating commodities and precious metals markets, and debt servicing capabilities. Even the fiat system is evolving with the developments and implementation of cryptocurrencies globally. With so many rapidly emerging and changing markets and sectors of the economy, many opportunities will present themselves for financial gain in the short and long term alike.
THE NEXT WAVE: How to Make Mega Profits with the Next Debt Collapse provides essential advice on the next big opportunities for making mega profits, including precious metals, emerging markets, cannabis, AI and 3D printing, crypto currencies, green and alternative investments, and rare earth metals, and it will guide investors on how to evaluate these opportunities and get rich!
About the Author: DAVID SKARICA (Eleuthera, Bahamas) is the founder and Editor of Addicted to Profits, a popular newsletter and website known for its stellar performance in both up and down markets. Skarica entered the financial markets at a very young age, at the age of eighteen, becoming the youngest person on record to pass the Canadian Securities Course. He is a regular speaker at trade and investment conferences and is a regular guest on the Business News Network (BNN), Canada's flagship business broadcasting network. His work has appeared in publications such as the Bull and Bear Financial Report, Barron's, Investor's Digest of Canada, Canadian MoneySaver; and Skarica also wrote for Gold Stock Adviser, a personal finance and investment newsletter for Newsmax Media.
http: //addictedtoprofits.net/
The author lives & works in Eleuthera, Bahamas.
