Sorry Our Demographic Karma Ran Over Your Economic Dogma

May 29, 2023

by Charles Hugh Smith Of Two Minds

Your bogus economic dogma of “growth via the wealth effect” created the demographic karma that will bring down the status quo.

What happens when you bleed your workforce while enriching those who already own assets with one bubble after another, all in the name of “fostering growth”?To answer this, let’s modify a felicitous phrase: Sorry Our Demographic Karma Ran Over Your Economic Dogma.

The Demographic Karma is young people can no longer afford houses, healthcare or children and so the birthrate plummets and the workforce shrinks to the point that the bloated, heavily indebted status quo collapses under its own weight.

Demographic-economic chartist CH summed it up very succinctly in a recent Tweet: