The debt burden and credit risk
What role does debt play in our economic cycles?
Dear Reader,
Imagine an economy in which there is no debt: the only way to spend more is to earn more, and the only way to earn more is to become more productive. Over time, as our cumulative knowledge grows, we improve systems, we discover better ways of doing things, and we become more productive. This raises our incomes, allows us to spend more on conβ¦