Outlook At the root of the instability and recurrent crises of the world economy is the very rapid, at times chaotic, growth of finance, inconsistent with the growth in productive activity. This has consequences for the stability of exchange rates, the purchasing power of currencies, interest rates and securities prices.
But as we do so, there is just one thing ahead, of which we can be sure, in the immortal words of Yogi Berra, the US baseball star: “the future ain’t what it used to be!” This is not the moment to go over the now well-documented blowing away of so many star players in the western banking system and its knock-on effects in the real economy.