The global economy is approaching the point of no return courtesy of mounting government debt, believes JPMorgan Chase CEO Jamie Dimon, and it will lead to a massive falling-out of markets and federal institutions.
Currently the American national debt stands at $34.14 trillion—about $100,000 for every person in the U.S.—with the debt ceiling currently suspended until 2025 courtesy of a deal passed in the summer of 2023.
And although some of the shorter-term economic signals are flashing green—inflation is coming down, the Fed may by eyeing rate cuts, and employment is staying stable—the boss of America’s biggest bank isn’t convinced there isn’t a major red flag up ahead.
Speaking on a panel alongside former Speaker of the House Paul Ryan at the Bipartisan Policy Center last week, Dimon said the American government is facing a “hockey stick” effect when it comes to government debt.
He drew on the comparison of the 1980s for…
