The global economy: What lies beneath

Ten years after the great financial crisis, markets are again booming, but as are levels of debt and leverage. Is this a cause for concern or have policymakers fixed the fundamentals? Has complacency lead investors to take on greater risks or have they learnt the lessons of 2008? Is Brexit a blip as the Eurozone is actually in rude health? Or are the fault lines increasingly clear but papered over? As volatility returns to markets. We ask: what lies beneath the global economy? Joining us to work out what is really going on in the markets and the wider global economy, is investor, hedge fund manager and author of Planet Ponzi, Mitch Feierstein.

Those who broke the economy cannot fix it

It may only have been a fraction of a percent but make no mistake, last week’s interest rate increase was a big deal. It signalled the Bank of England has given up on reviving the economy, having already inflated the assets of the already rich through its dangerous game of monetary policy. Bank and Treasury economists (aided and abetted by the OBR) are guilty of defeatism. They argue that despite their powers, there is nothing to be done.