The 'Critical Triangle' and BIS’s Warning
ANBOUND
Recently, the Bank for International Settlements (BIS) warned that global central banks should be wary of the negative impact of high debt and other risk factors on the global economy.
In fact, this has been analyzed by the chief researcher at ANBOUND Consulting in his 'critical triangle' model wherein he suggested that the excessive urbanization will stimulate the production of excessive capital which will in turn create all sorts of economic crisis, and after the crisis, people will still usually opt for urbanization.
The symptoms of debt expansion include excessive capital and economic crisis.
The warning issued by BIS shows that in the future, in order to reduce debt and suppress the debt bubble, the central banks worldwide will support deleveraging.