Will 2026 Bring Financial Crisis?

Abstract

Over the last year, US President Donald Trump’s economic policies – including a fiscal blowout, the demolition of the international trading system, threats to the Federal Reserve’s independence, and erosion of the country’s long-term innovation capacity – have been triggering alarm bells in the United States and globally. Add to that a frothy AI sector, the normalization of crypto, proliferating climate-related disasters, and growing public-debt burdens, and the global economy appears beset with risk.

In this Big Question, we ask Anat R. AdmatiHilary J. Allen, Jayati GhoshSimon JohnsonCorey Klemmer, and Erin Lockwood whether a major crisis is imminent, and how economies can mitigate the fallout.

Source Publication

Project Syndicate

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