Fact is I have had a jolly good vacation while the world fell apart at the seams, or so it seems! Pun intended. My thoughts on what and why this has happened are unprintable.
I do have strong opinions about the post Thatcher and post Reagan changes in the financial sectors of both USA and the UK, that leveraged the property market. The fact is that these are war economies and so deserve special attention.
I do feel that the consumer price index should include rent on land and appreciation of land, after all, is not that what communism was all about.
Now that the weaknesses of both systems have been revealed to revolve around the value of land, we can have a better idea of where to reconstruct both.
What is printable is that there are obvious solutions, even though these promise to be painful. What I see is a severe mathematical disjoint between incomes and debt. Normally economies meet this change by means of the price mechanism.
The problem with the needed price adjustment is that its effect would be to slow activity in areas where activity has been compressed within time just as the price rises of the past decade have compressed activity forward in time in certain areas such as housing and consumer capital items (such as, furniture, heating and decoration).
It seems obvious that what will happen is a reallocation of incomes coming from different areas and capital going into different areas from what we have seen.
The stock market and related economies will continue to grow but some sectors, formerly starved of investment will receive investment while other sectors that have received too much investment should receive less.
The oil sector is grossly over invested as is every item that uses oil, so this sector needs to be starved of capital while the solar sector needs to receive capital.