05/19/2017 - Charles Hugh Smith: Central Planning Based On Central-Bank Inflated Debt-Asset Bubbles Works Until It Doesn’t
“A media mini-industry touts Scandinavia’s ‘happiness’ as the result of its high-tax, generous welfare state-capitalism .. The high-tax, generous welfare model is just as dependent on unsustainable credit bubbles as every other version of state-capitalism .. Take away these unsustainable bubbles, and how ‘happy’ will these economies (or their suddenly impoverished residents) be? Central planning based on central-bank inflated debt-asset bubbles works until it doesn’t. The day of reckoning draws ever nearer in every economy that’s created the illusion of solvency with debt/asset bubbles and export-dependent economies.”
