How the coronavirus has exposed the global economy’s pre-existing vulnerabilities – an overdependence on easy money

If a lack of maintenance undermines a structure’s foundations, the damage can be hidden by a bigger disaster such as an earthquake. Similarly, a sudden heart attack may disguise the patient’s underlying conditions or the poor medical treatment they have received.  These are simple analogies for what is happening to the global economy and the international financial system. The economy is in deep recession and the financial system is traumatised, but few are asking why. The assumption is that…

Read the original article at South China Morning Post