Alright, "stable" global economy in 2026? Give me a freakin' break. That's what the so-called experts are peddling now? Steady as she goes? Like we haven't seen this movie before.
Tariffs: America Shrugs, the World Chokes
The "New" Trade Order: Same Old Bullshit
So, the big brains are saying the US tariff situation isn't gonna cripple the economy. Strong household incomes, fiscal loosening – sounds like a party, right? Except, who's paying for the kegger? We are, offcourse. And while the US might shrug off the tariffs, the rest of the world gets to eat the dust.
China's still pumping out exports, driving down prices... which, hey, cheap stuff for us, right? Not so fast. That deflationary pressure hits manufacturers in Europe and Asia hard. It's a race to the bottom, and guess who wins? Nobody. Everybody loses jobs, wages stagnate, and the rich get richer.
I mean, are we really supposed to believe this is "stable"? It's like saying a house of cards is "stable" because the bottom card hasn't been pulled out *yet*.
AI Bubble 2.0: This Time With More Debt!
AI: Hype Machine or Economic Engine?
AI is either gonna save us or destroy us, right? No in-between. In 2025, it was the golden goose, juicing up tech spending and giving Asian computer companies a boner... I mean, a boost. But now? Now the financing is shifting to debt. Debt! Sounds like a bubble about to burst, doesn't it?
They're talking about an AI downturn, comparing it to the dot-com bust. A sharp slowdown, stock prices tanking, GDP growth going below 1%. Sounds stable to you? Me neither.
And even if the AI bubble doesn't pop, so what? Does anyone *really* think AI is going to fix all our problems? It's just another tool, and like any tool, it can be used for good or evil. Or, more likely, for making someone else a ton of money while the rest of us struggle to keep up.
But hey, maybe I'm just being cynical. Maybe AI *will* usher in a new era of prosperity for all. Nah, who am I kidding?
Fiscal Policy: "Credible Plan" or Just a House of Cards?
Fiscal Policy: The Real Wild Card
Forget interest rates, apparently. Fiscal policy is where the action is in 2026. Governments are gonna spend, spend, spend, even if they're drowning in debt. The US, the UK, Europe – nobody cares about fiscal sustainability anymore.
They expect markets to just keep swallowing the debt as long as there's a "credible medium-term plan." A credible plan? From *politicians*? That's the funniest thing I've heard all week. It's like trusting a fox to guard the henhouse.
China's supposedly gonna drive a "slightly positive" global fiscal impulse. More spending! Great. More debt. More problems down the road. The UK's fiscal outlook was covered in
Economic and fiscal outlook – November 2025.
So, What's the Real Story?
The whole "stable but unremarkable" narrative is a crock. Beneath the surface, it's a mess of competing interests, simmering crises, and potential disasters waiting to happen. Anyone who believes this "stability" BS is either delusional or trying to sell you something. Buckle up, folks. It's gonna be a bumpy ride.
