US EditionFire and Ice - Fat Tail Daily
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Fire and Ice - Fat Tail Daily
Last week, the US began Crackpot Financial Experiment Number Two. CFEN2. CFEN1 was the move, in 1971, to a ‘paper’ currency…with nothing to connect it to real output. It greatly increased the amount of credit available, leading to a long (but largely fake) boom from 1982-2021 and to $37 trillion in government debt. CFEN2 should have an almost opposite effect. It discourages trade and should depress the world economy. Today, we take a guess about…
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