{"id":40250,"date":"2018-01-15T09:25:13","date_gmt":"2018-01-15T09:25:13","guid":{"rendered":"http:\/\/www.taxresearch.org.uk\/Blog\/?p=40250"},"modified":"2018-01-15T09:25:21","modified_gmt":"2018-01-15T09:25:21","slug":"are-we-heading-for-another-economic-crash","status":"publish","type":"post","link":"https:\/\/www.taxresearch.org.uk\/Blog\/2018\/01\/15\/are-we-heading-for-another-economic-crash\/","title":{"rendered":"Are we heading for another economic crash?"},"content":{"rendered":"<p>The State of Nature web site has invited a wide range of opinion on the above question. The <a href=\"http:\/\/stateofnatureblog.com\/one-question-economic-crash\/\" target=\"_blank\" rel=\"noopener\"><em>whole review is here<\/em><\/a>. This is my contribution:<\/p>\n<p><em>The answer to this question has to be yes: capitalism is built on the concept of failure and so crashes are inevitable.\u00a0 The real question is how soon before the next crash?<\/em><\/p>\n<p><em>My answer is soon. The reasons are multifold. It could be a hard Brexit creating a liquidity crisis for companies as lorries queue at ports meaning that businesses will fail as they run out of stock, orders and cash.\u00a0Or it could be over-valued stock markets crashing, especially if central banks try (foolishly) to increase interest rates and trigger a household debt crisis at the same time.\u00a0Alternatively it could be Chinese debt collapsing.\u00a0Or (heaven forbid) Trump pushing his \u2018big button\u2019.\u00a0And it might be something else entirely.<\/em><\/p>\n<p><em>The fact is economies historically do downturns. We are overdue for one. That would not be too worrying\u00a0except that austerity and a failure to address most of the failings in financial capitalism that led to 2008 have left us hopelessly ill-prepared for the next crunch. And that\u2019s why it will be a crisis and not a manageable bump.<\/em><\/p>\n","protected":false},"excerpt":{"rendered":"<p>The State of Nature web site has invited a wide range of opinion on the above question. The whole review is here. This is my<br \/><a class=\"moretag\" href=\"https:\/\/www.taxresearch.org.uk\/Blog\/2018\/01\/15\/are-we-heading-for-another-economic-crash\/\"><em> Read the full article&#8230;<\/em><\/a><\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[35],"tags":[],"class_list":["post-40250","post","type-post","status-publish","format-standard","hentry","category-economics"],"_links":{"self":[{"href":"https:\/\/www.taxresearch.org.uk\/Blog\/wp-json\/wp\/v2\/posts\/40250","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.taxresearch.org.uk\/Blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.taxresearch.org.uk\/Blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.taxresearch.org.uk\/Blog\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.taxresearch.org.uk\/Blog\/wp-json\/wp\/v2\/comments?post=40250"}],"version-history":[{"count":0,"href":"https:\/\/www.taxresearch.org.uk\/Blog\/wp-json\/wp\/v2\/posts\/40250\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.taxresearch.org.uk\/Blog\/wp-json\/wp\/v2\/media?parent=40250"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.taxresearch.org.uk\/Blog\/wp-json\/wp\/v2\/categories?post=40250"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.taxresearch.org.uk\/Blog\/wp-json\/wp\/v2\/tags?post=40250"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}