Certainly the American psyche that drives the world economy, is that a problem is a totally binary thing. You can either have a problem or not. That would certainly lend weight to the opinion that we will have a large crash, at some time. Americans don't lend themselves too much to the idea of worrying about a problem, or doing something to address the issues behind a designated, non-problem . There is no problem right. Until there is a Problem of course.
The video of the interview of Viktor Shvets is interesting as he is of the no-problem camp, and you would expect, paid well by Macquarie as global strategist. The video also covers some other what he considers common myths, such as China having leverage over the US relating to the fact that China holds a huge share of US treasuries.
Certainly has changed my thinking, to entertain the possibility that Government Debt might not be actually be a problem?
Having said that countries like Italy with over a decade of stagnant GDP growth, may indicate that you could have too much Debt, relative to other economies? But that would be crazy talk, for a non-economist like myself.
