The coming Global Financial Meltdown: Global Debt hits $100 Trillion
Since mid-2007 the amount of global debt has skyrocketed more than 40 percent to $100 trillion, according to the Basel-based Bank of International Settlements (BIS), which also highlighted a growing decline in cross-border lending since the start of the financial crisis.
The BIS – known as the central bank of central banks – released its latest statistics from mid-2013 on Sunday showing the $30 trillion increase from $70 trillion between mid-2007 and mid-2013, as governments around the globe borrowed to lift their economies out of recession and corporations took advantage of record low interest rates.
Although the political pundits insist the U.S. economy is doing better, marketable U.S. government debt outstanding has soared to a record $12 trillion, from $4.5 trillion in 2007, according to U.S. Treasury data compiled by Bloomberg. Even more troubling is the huge number of retail store closures that are expected in the coming months, which will put even more people out of work and threatens to push the economy over the edge.
Over the last couple of weeks some of the largest retailers in the country have announced they will be closing many of their stores including Radio Shack, who will close more than a thousand stores; Staples, who just announced it was going to close 225 stores; and Sears who is expected to shut down another 500 Sears and Kmart locations.
Even the previously thought unshakable Walmart is experiencing trouble, with analysts saying Walmart needs to close approximately 100 “underperforming” supercenters and cut the square footage of the other supercenters in half.
Unemployment at an all-time high.
If you listen to the idiots in the mainstream media, you might get the impression that our economy is on the rebound. After all, they’re all busy pushing the lie that unemployment is now only 6.7%. What they’re not telling you is that number has no basis in reality. If you look at the real numbers, the labor force participation rate is actually at a 35 year low.
If this so-called recovery was real, we should not be seeing numbers like this. In fact, I would venture to guess that the $100 trillion in debt is the only thing that’s actually holding everything together. But as we’ve pointed out many times in the past, this Ponzi scheme – just like all Ponzi schemes before it – will come to an end. And when that happens the world is going to be in for a huge surprise.