Debt Matters:The long term cost of all the debt (US $5T–>$25T since ’00) is HUGE, it’s not costless. Interest rates are already at 5,000 yr lows and will need to stay there for decades. That means the primary safe way to retire – live off interest income of savings, is GONE

The reason interest rates are at 5,000 yr lows is due to the existing massive debt load on the world, which is 320% to GDP (IIF). Central banks use QE to force rates down to counter debt. That spawns Asset Bubbles. Asset bubbles benefit the Top 20%. We need structural reforms.🤔 pic.twitter.com/c0CWv6Tv2v

— M/I_Investments (@MI_Investments) May 13, 2020

An important editorial by the FT. Rising debt levels can be extremely pro-cyclical and distort incentives for a wide range of economic agents in ways that automatically drive up long-term financial distress costs for the overall…
t.co/kLiUpTLey3 via @financialtimes

— Michael Pettis (@michaelxpettis) May 13, 2020