Rising Global Debt

From these data, it is clear that world debt is steadily increasing, and if that trend does not reverse, problems will arise. After discussing the existence of world debt, steadily growing, it is time to continue to tackle possible problems when world debt is not reversed and stabilized. In economics, debt should be regarded as a double-edged sword. Cautious and discreet use can markedly improve the economic well-being of the country. However, if debt is mercilessly and overly overused, the result may be an economic disaster.

The biggest cause of global economic problems is the debt problem. The world economy depends on the global financial system, and the global financial system is the debt system. An increase in revenue makes it easier to accept debt, but so much debt is a very real threat. How will people with higher risks collapse large amounts of debt? Although the global economy is performing well, it is difficult for individuals with high risks to endure any place. Many people use debts rather than investment, not to mention luxury goods, but they always use it due to the loss of one or two days of work due to abnormal expenses or personal illness or illness. children

As we reported last month, the world's debt growth rate is three times that of the world's wealth. In fact, world debt reached a record $ 233 trillion at the end of the third quarter of 2017. Government obligations of US $ 63 trillion, corporate bonds of US $ 58 trillion in the financial sector, and corporate bonds of non-financial sectors between $ 68 trillion and $ 44 trillion. With family debts. Just looking at the situation in the US, it should bring a great danger. The US government plans to sell more than $ 1 trillion in government bonds to fund all the debt of the cards and Republican parliament. Major buyers - China, Japan, the Federal Reserve Board did not buy. Who will buy all these debts?

No According to data released by the Federal Reserve Bank of New York on Tuesday, the total consumer debt of 11.52 trillion dollars is higher than that since 2011. What's even more annoying is that debt is rapidly increasing. US debt including mortgage loans, auto loans, student loans and credit card debt increased by 1% in the second half of 2013 to $ 241 billion, the biggest increase since the third quarter of 2007. Fall into a recession. At the individual level, many Americans are in an unstable fiscal situation. According to a survey released Tuesday by the financial regulatory agency Bankrate.com, 28% of Americans today have more credit card debt than the savings fund. In other words, even if a quarter of Americans even try to use savings to pay debts, they will not be able to realize it.