From Dave Hodges article of the same name at BIN
For the only time in human history, the planet has recorded a whopping $217 trillion in the first quarter of the year. Since these are raw numbers, most will not appreciate the gravity of the world’s economic situation. The adding of $217 trillion dollars of debt in the first 90 days of 2017, represents 327% of the world’s annual economic output,
otherwise known as the GDP. These figures represent the economic research of the Institute of International Finance (IIF)….
Let’s take that surging debt and apply it to your state, say the state of Illinois which is totally insolvent. I recently interviewed economist, Robert Kudla, about this dire situation if the $327% debt to income ratio visits your state, which it is beginning to. The state would default on its obligations and stop paying. In the meantime, under the new bankruptcy laws, a judge could order the citizens of that state, say Illinois, to be put on a payment plan. This would represent permanent serfdom because there is absolutely no hope of repaying the debt. This scenario, according to economist Robert Kudla, would represent permanent financial enslavement and could accurately be said to represent the biggest financial bailout of all the bailouts in history….
The United States government takes in about $2 trillion dollars per year. However, we have a national deficit of $20 trillion per year and that is the good news. We have an unfunded liability of $240 trillion dollars (i.e. Medicate, Social Security, etc) and the 800 pound gorilla in the room is the credit swap derivatives debt of $1.5 quadrillion dollars with an annual interest rate of $505 trillion per year. You do not need a calculator to tell you what is coming….
This may prove comforting in that when the US and its state government’s default on its debt obligations, the rest of the world has already crashed. In my humble opinion, the world will be embroiled in civil war or world war, or both….
How will you survive? There is no guarantee. However, one can increase their chances by acquiring food, water filtration, guns, ammunition, gold and medicine.