The last recession from which much of the world’s economy has not yet escaped was caused in the USA by US debt. The next and possibly worse recession will likely be caused by hugely excessive Chinese debt. Common thinking in the US is that China owns vast amounts of US debt and is economically “eating our lunch.” As one commentator remarked recently that way of thinking is “so last decade!” Prior to the 2008 market crash and onset of the Great Recession China indeed used to manipulate its currency to maintain a prosperous trade balance with North America, Europe and […]