Tag Archives: private debt

After repeated warnings from BoE about the surging pace of lending to households, British lenders are planning the biggest cutback in consumer loans in nearly 10 years (BoE's quarterly net balance of lenders' expectations for the availability of unsecured lending over the next three months fell to -28.6 from -16.2.)... Zero HedgeBritish Banks Forecast Biggest Consumer Credit Collapse In 10 Years Tyler Durden

Link to web application written in R using Godley ratios.The Case for Concerted ActionUnsustainable Processes Of The EUV. Ramanan

The title may be alarmist but the post is worth reading. David Graeber points out that the sectoral balances don't actually balance and asks why, since it is an accounting identity. When I first saw this diagram I was startled and confused. Was I missing something? Was there something about the math I didn’t understand? I passed the image on to two different economists and asked just that: isn’t there something wrong with the numbers here? You’ll notice that towards the end of the graph,...

Photo, International Finance Place, Guangzhou, China, by Jeremy Smith Total global debt has increased, growth has been slowing down since the onset of the global financial crisis in 2007 and has been rapidly decelerating after 2012. This may be a sign that the world has arrived at its debt carrying...

Wagon of Fools by Hendrik Gerritsz Pot, 1637,  representing the Dutch Tulip Mania and the quest for riches... Image with acknowledgment to Wikipedia Recently, this author discussed the rapid increase in auto-finance delinquencies that need to be seen as just one component of a growing bubble. The...

The EU’s hugely complex banking resolution framework is generally supposed to have one key goal – to ensure that failing banks are ‘resolved’ without recourse to public bail-outs, thereby breaking the link between private banks and sovereigns…  The reality, we have seen today, is quite different – and, it seems, legal!  The EU can just about argue that technically, the rules have not been broken - but overall, the appearance is of a policy in logical disarray once again.After...

Nice interview of Steve Keen on the catastrophe of private debt and the rentier economy.[embedded content]

Steve Keen was interviewed recently on various issues in the video below.[embedded content]

A brief and nice summary below.[embedded content]