Global Systemic Crisis

Globalization could be imperiled by events that have not been predicted by those high paid financial wizards that seem to not be able to predict anything right nowadays. Or, they are just good at covering their tracks. This latter option is apparently what is going on.

During the first quarter of 2007, the U.S. economy has gone into a recession:

Thus, as anticipated by LEAP/E2020 in February 2007 (GEAB N°12), the month of April 2007 marks the tipping point of the phase of impact of the global systemic crisis, and signals the objective entry of the US into recession, even though official US figures are still trying to conceal the trend. Besides, in relation to this fundamental piece of information, April 2007 was also a turning point on a number of key-factors of the global systemic crisis whose evolution will experience a new acceleration. In this month's issue of GEAB, LEAP/E2020 enters into the details of the two following analyses:

- Aggravation of the US consumer's insolvency, profit reduction for companies depending on the US market and massive layoffs contribute to a negative retroactive loop

- Acceleration of dollar collapse, imported inflation, increase in balance of payment deficit and trade tensions with Asia and Europe smash the Fed's consensus and thrust the US into the « very great depression »

It seems those that the government hires to analyze the economy are doing a better job at hiding the facts from this great nation that is in debt.