Building Resilience
In the era of globalization, we have burst the largest credit bubble in human history. Bubbles are effectively gigantic Ponzi schemes — destined to implode, leading into a period of economic depression. Credit bubbles borrow demand from the future by artificially inflating future worth, but at the cost of a dearth of demand for a long period thereafter. This is why bubbles always end in depression.
Consequently, we need to prepare for hard times ahead. There is much we can do to reduce our over-exposure to vulnerable systems. Facing these hard times is best done as close-knit communities. If we work together to build trust at the local level, we can withstand a great deal of upheaval. The sooner we begin, the better the chances of being as prepared as possible for an uncertain future that will not look like the lives we are anticipating.
Nicole Foss is Senior Editor of The Automatic Earth. She previously wrote under the name Stoneleigh. She and co-author and Editor-in-Chief, Raúl Ilargi Meijer, have been chronicling and interpreting the ongoing credit crunch as the most pressing aspect of our current multi-faceted predicament. Nicole is also an international speaker on energy and global finance. She has lectured in hundreds of locations across North America, Europe, Australia and New Zealand, and has made numerous media appearances in a variety of countries.
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