The global economy is settling into a slow-growth rut, steered there by policymakers’ inability or unwillingness to address major impediments at a global level. Indeed, even the current anemic pace of growth is probably unsustainable. The question is whether an honest assessment of the impediments to economic performance worldwide will spur policymakers into action. https://agenda.weforum.org/2015/11/why-is-global-growth-stuck-in-a-rut/
(1) Too many people on the planet. Not enough jobs for everyone, yet all need to be "supported". (2) Too much government, all around. IOW... there is no "fix" to this situation... Biologist that I am, which includes the study of Population Dynamics... One prominent population dynamics professor states... "planet earth can support only about 3 Billion people in a healthy fashion". If that is actually the case, what are the ramifications and consequences of a world with 7 Billion+ inhabitants? I think we are experiencing that right now. In "closed populations" (which include planet earth), populations tend to expand to excess... until the population exceeds the ability of the substrate to sustain their numbers... then, EVERYBODY/organism dies because the ecosystem exhausts some vital resource... food, water, space... or the toxic byproducts of life overwhelm every organism and they die. (Think air and water pollution.) Not saying "every organism on the planet will become extinct"... but the ones with the "greatest requirements for support" will certainly go and likely be first. In the end, cockroaches will rule the earth. Yes, even after the Muslims have also seccumbed.
There is a large over supply capacity of TVs, cars, fridges etc. Production can't keep growing indefinitely imho.
I think its a fallacy to expect 2% continual growth. Sure you still have a population growth, but there is no way for everyone on earth to live by western standards. As more people move up in the world, others have to move down, which is what I think will be happening to western countries. I also think that there is no sustainability to the system. When we talk about the planet, we talk about sustainability and recycling materials and all that jazz. But when we talk about the economy, given that its debt based, the only way it can work is grow grow grow, and inflate away. This will come to an end because its not sustainable. Not sure if its within 5 years or not, but one day.
Picture that. "Cockroaches feasting on the bodies of dead Islamic Terrorists". Gotta be some kind of irony in there somewhere....
well wadayaknow!? Transfering wealth to the investor class via monetary policy and easing does not create jobs hence sustain demand. Whodafunkit
because business has never recovered from the depression of 2008. don't be fooled by mountains of paper (fiat) money.
Around 2013, KPMG coined the term "refinancing wall" that was going to hit Europe at this time. The worries have mostly faded because of the auto sector performance. However, commodities continue the deflationary spiral which was forseen after the global housing bubble burst. Make note that Canada and Australia, 2 big commodities based economies which have managed to dodge the bullet, have yet to complete the cycle.