very dangerous thing to economies and societies, and always climaxes with more centralized control in its wake.
The problem for the 21
st century, however, is that almost no global policymaker (left, right or center, European, Asian or American) wanted to touch this $280T debt elephant in the room.
Instead, they buried their heads for years in the sand and sought re-election with promises paid for with, alas, more debt.
In this openly embarrassing backdrop (long
before COVID), economic orthodoxy had been tossed into a corner as governments around the world took on fatal debt levels like this:
…paid for (i.e., “monetized”) with mouse-click fiat money like this…
From the commodity-based prizes awaiting Brazil and Russia as the world reawakens, to India’s growth as a manufacturing hub, the emerging economies present investors with multiple dynamics to navigate
Talk of a bounce back from the economic devastation wreaked by Covid-19 may feel a little premature in the UK. We are still in the midst of it all. But some countries are enjoying the first signs of recovery.
So-called emerging market economies have started to see strong growth and many investment experts believe they present good long-term opportunities for investors.
Sam Dickens, portfolio manager at IG, is one of them. He points out that since stock markets plunged last March, an index of the biggest companies in emerging markets has outperformed US companies by close to 17 per cent.
Opportunity: The poverty and the riches on display in Mumbai. Experts believe India offers a huge amount of potential