Macroeconomics: Twin crisis, Fed policy, credit crunch and economic recession

Public debt crisis, banking crisis and, more severely, financial and economic crisis, are a trio of crises with rapid contagion and mutual influence. Especially in the context of high inflation, tight monetary interest rate policy can cause chaos in market liquidity cash flows, leading to concurrent banking crisis and public debt crisis (twin crisis).

• Article by Viet Hustler explaining twin crisis. 

Through this week's macroeconomics article, Viet Hustler will update the latest information on the twin crisis situation in the US with an overall view of the current macroeconomic situation. The main questions include:

• Is the US public debt crisis scary or not? (Viet Hustler's opinion at the end of the article).

• Will the current bankrun situation affect the Fed's interest rate policy in the near future?

• And where are we in the recession cycle?

US public debt crisis