Michael Hudson On Why The US Risks Becoming The Next Greece
Odd Lots
Bloomberg
4.5 • 2K Ratings
🗓️ 12 October 2020
⏱️ 56 minutes
🧾️ Download transcript
Summary
In the wake of the Great Financial Crisis, you heard a lot of talk about the US becoming like Greece unless the budget deficit were brought under control. However, these warnings proved to be unfounded. That being said, there are risks of a different variety. On the latest Odd Lots, we speak with the economist Michael Hudson on the risk of too much private sector debt, which could lead to permanently degraded consumption and investment.
See omnystudio.com/listener for privacy information.
Transcript
Click on a timestamp to play from that location
| 0:00.0 | Together we have the opportunity to build a more sustainable and inclusive future. |
| 0:06.0 | At the Bloomberg New Economy Forum, we help make this possibility a reality |
| 0:11.0 | by cultivating new connections among global leaders that transcend geographies, industries |
| 0:16.3 | and ideologies. |
| 0:18.4 | Because when global leaders work together, the outcomes benefit all of us. |
| 0:23.0 | Learn more at Bloomberg New Economy.com. Hello and welcome to another episode of the All-Thoths Podcast. I'm Tracy Allaway. |
| 0:45.3 | And I'm Joe Wisenthall. So, Joe, I think we've spoken about this a lot, but one of the |
| 0:52.4 | defining factors of the about this idea |
| 0:53.0 | defining factors of the COVID crisis and its impact on the economy has been this this idea that |
| 1:00.0 | economic time has sort of stopped People weren't going out as much, they weren't shopping as much, they weren't eating, but financial time kept going. |
| 1:10.5 | So even though businesses aren't getting revenue and income, they still have to pay rent, pay back any loans they might have and pay taxes and things like that. I think you actually wrote about this when we were just getting started with the |
| 1:22.8 | coronavirus crisis. Yeah that was kind of like identified as the early |
| 1:27.4 | theme which is like okay even if we can get through this crisis in a |
| 1:31.8 | expedient manner which at least in the US we haven't. through this and without revenue those bills suddenly become defaults and |
| 1:44.2 | potentially bankruptcies. Right that's exactly right so a lot of the policy |
| 1:48.9 | responses we've seen so far have been focused on bridging that gap between economic time and financial time if you want to call it that and they've |
| 1:58.1 | been offering things like tax relief and loan forbearance but the question of course is eventually, you know, people are going to have to |
| 2:07.3 | pony up the money that they owe and what happens at that point, especially after they may have endured months |
| 2:15.2 | possibly even years of economic weakness right and less revenue than they would |
| 2:20.2 | otherwise have gotten. |
| 2:21.2 | Yeah I mean I think one way to sort of like conceptualize the policy response at least in the U.S. |
| 2:28.7 | is that to some extent you have the Federal Reserve having backstopped a fairly significant portion of credit markets and done |
... |
Please login to see the full transcript.
Disclaimer: The podcast and artwork embedded on this page are from Bloomberg, and are the property of its owner and not affiliated with or endorsed by Tapesearch.
Generated transcripts are the property of Bloomberg and are distributed freely under the Fair Use doctrine. Transcripts generated by Tapesearch are not guaranteed to be accurate.
Copyright © Tapesearch 2026.