The Credit Crunch is Going to Be One of the Biggest Stories of the Next Six Months

April 25, 2023

by Michael Snyder The Economic Collapse Blog

Right now, financial institutions all over America are getting really tight with their money. That means that less credit will be available for consumers and businesses, and that will mean less economic activity in the months ahead. When economic activity slows down, more businesses fail, more layoffs happen, and more consumers start defaulting on their debts. Of course if economic conditions steadily deteriorate it will cause financial institutions to get even more stingy with their money. It appears that a vicious cycle has now started, and I believe that this will be one of the biggest stories of the next 6 months.

Earlier today, I was quite alarmed to read that the top economist at Citibank is now publicly warning about the possibility of a substantial credit crunch in the months ahead…