Steve Keen: Deflation In China, Canada, & Australia

Very Likely

Submitted by IWB, on July 11th, 2016

 

Steve Keen predicts a big crisis for Canada based on private debt levels:

“I’m convinced that Canada’s going to face a crisis because this level of credit growth has to decline…[it] will be blamed on Trudeau, but it won’t be his fault.”

Note that Keen does not single out Canada, but rather sees a financial crisis in many other countries that also have high levels of private credit growth, with China being the most precarious. For more on this post-Keynesian perspective on economic cycles, here’s the link.

Hugh