In 2008 we experienced the worst global recession since the Second World War. Irresponsible financial practices and the expansion of 'credit culture' from the 1980s onwards meant that a major economic calamity had long been brewing. The flashpoint was a subprime mortgage crisis that decimated the US housing market, with knock-on effects throughout the world that resulted in a major dip in annual real world GDP per-capital. Within a year, global unemployment levels skyrocketed, millions lost their homes, millions more lost savings and national debt soared ‒ in America alone from 66 per cent pre-crisis to 103 per cent.
According to the National Bureau of Economic Research, the storm was over by June 2009, after which economic analysts began posting growth again. So international capitalism had made it out of the mire alive ‒ right? Well, here's the thing…plenty of experts argue that this economic recovery was so poor that we never properly came out of recession. In any case, there are worrying signs that another financial disaster on the scale of 2008 is not only possible, but inevitable.
Here are ten reasons why we are careering towards another global recession.