The $100 Trillion Global Debt Ponzi Scheme!

• The $100 Trillion Global Debt Ponzi Scheme! 
  by Phoenix Capital Research, http://www.zerohedge.com/ 
  If you are an investor, your big concern should not be about stocks… but what happens when the bond bubble goes bust.
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  For 30+ years, Western countries have been papering over the decline in living standards by issuing debt. In its simplest rendering, sovereign nations spent more than they could collect in taxes, so they issued debt (borrowed money) to fund their various welfare schemes.
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  This was usually sold as a “temporary” issue. But as politicians have shown us time and again, overspending is never a temporary issue. Today, a whopping 47% of American households receive some kind of Government benefit. This is not temporary… this is endemic.
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  All of this is spending is being financed by borrowed money… hence, the bond bubble, the biggest bubble in financial history: an incredible $100 trillion monster that is now growing by trillions of dollars every few months.
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  We do not write that point for effect. The US alone issued over $1 trillion in NEW debt in an eight week period towards the end of 2014.
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  The reasons it did this? Because it didn’t have the money to pay off the debt that is coming due from the past… so it simply issued NEW debt to raise the money to pay back the OLD debt.
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  Sounds a lot like a Ponzi scheme… but the US is not alone in this regard. Globally, the sovereign debt bubble is over $100 trillion in size. Just about every major nation on the planet is sporting a Debt to GDP ratio of 100%+ and that is just including “on the balance sheet” debts… not unfunded liabilities like Medicare or Social Security.
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  This is why the Fed and every other Central Bank on earth is terrified of interest rates rising; because anything even resembling the normalization of interest rates would mean entire countries going bust.
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  read more!
  

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