Opinion (Kyle Bass, Hedge-fund manager, Hayman Capital Management): “In his latest investor letter Kyle Bass lays out his case that a wave of hard defaults is coming.

“His basic argument: The world is just saddled with too much debt.

“Throughout history, he says, total debt-to-GDP only ever breached 200% when nations were spending on war. Today we’re at 310%.

“Says Bass: ‘There is no savior large enough with a magical pool of capital to stave off this unfortunate conclusion to the global debt super cycle. We think hard defaults are imminent.’”

Comment: If we look at the crisis of humanity in this way, then, of course, there is no salvation. If we look from the perspective that the world finally will climb out of its dead-end “development,” and head not toward financial development, but toward a civilized, unified integral society, then it turns out that we are not in a crisis, but at a turning point between the fall and a great ascent to a brighter future. It would not be in competition, mutual destruction, and victories at any cost and to our own detriment, but in an integral, confident, peaceful flow of life.
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