An Economist projects another economic crisis to take place in the world by the year 2020. He believes that the financial crisis would be worse than the 2008 experience.
The Impending Economic Crisis
Nouriel Roubini, an American economist, stated in an interview recently that a harsher economic meltdown than the one experienced in 2008 will hit again in 2020.
Nouriel’s opinion is based on ten reasons why strainer and a harsher economic condition is ahead in the world market.
One of the reasons Nouriel cited is the increasing FED inflation rate and the lack of understanding between the President of the United States, Donald Trump, and other countries such as China, Canada, and other trading partners in the United States.
Notably, the international political system has been an arena of trade wars and economic sanctions of recent. This made the economic condition of the global system volatile to the direction of sanctions.
So also, the major fiat currencies in the world backed and controlled by the central bank are prone to inflation surge and economic overheating which could make all lose their stability and value and eventually plummet.
Nouriel notes the United States financial debt which is continually growing as a causative factor. This is seen in the rise of the basic economic figures like mortgages, students loan, and debts on credit cards. These factors he says could lead to another economic meltdown by 2020.
A similar thought shared by Nouriel has also be predicted by billionaire Warren Buffett, that there is an economic crash ahead. However, he stated that the specific time could not be predicted. Warren also shares the hostile international economic space as a reason for the impending crash.
Further, Robert Kiyosaki, the billionaire renowned for his best selling book, poor dad rich dad, also stated that an economic meltdown that would lead to the burst of the US dollar bubble is ahead. He also had no specific time prediction for this event.
Economic Meltdown and Cryptocurrency
Robert Kiyosaki further opined that the economic meltdown that would be greater than the 2008 experience would lead to the broad adoption and rise of the people’s money, cryptocurrency.
Recently, hyperinflation in Venezuela, Argentina, and Turkey has led to the massive adoption of cryptocurrency by the citizens of those countries.
Also, an IMF chief advised central banks to adopt some beneficial features of cryptocurrency to stay afloat against the competition of cryptocurrency.
Conclusively, Anthony Pompliano, the Founder & Partner at Morgan Creek Digital and former Project Manager of Facebook, believes that Institutions will come under pressure in the next five years if they have no exposure whatsoever to Bitcoin & digital assets.
Regardless of projections, the time will justify these claims (or not).