Given the current turbulence with respect to trade disruptions, it’s worth bearing in mind that the overwhelmingly important issue remains the $300 trillion global debt bubble; when this bubble bursts it will be a historic rupture. The trade disruptions and consequent supply shocks are likely to contribute to the bubble bursting, which will then necessitate central banks either returning to radical expansionary monetary policy or allowing the bubble to burst. In this speech, given at the Austrian central bank in the summer of 2023, I gave an extended lecture and Q & A session over two hours, explaining how central bank policies contributed to this debt bubble. There were some excellent questions from central bankers and other experts.
It was introduced by Robert Holzmann, the Governor, and moderated by Vice President Barbara Kolm.
