Charles Hugh Smith – The Next Recession Will Be Devastatingly Non-Linear

The Next Recession Will Be Devastatingly Non-Linear
The acceleration of non-linear consequences will surprise the brainwashed, loving-their-servitude mainstream media.
Linear correlations are intuitive: if GDP declines 2% in the next recession, and employment declines 2%, we get it: the scale and size of the decline aligns. In a linear correlation, we’d expect sales to drop by about 2%, businesses closing their doors to increase by about 2%, profits to notch down by about 2%, lending contracts by around 2% and so on.
But the effects of the next recession won’t be linear–they will be non-linear, and far more devastating than whatever modest GDP decline is registered. To paraphrase William Gibson’s insightful observation that “The future is already here — it’s just not very evenly distributed”: the recession is already here, it’s just not evenly distributed– and its effects will be enormously asymmetric.
Non-linear effects can be extremely asymmetric. Thus an apparently mild decline of 2% in GDP might trigger a 50% rise in the number of small businesses closing, a 50% collapse in new mortgages issued and a 10% increase in unemployment.
Richard Bonugli of Financial Repression Authority alerted me to the non-linear dynamic of the coming slowdown. I recently recorded a podcast with Richard on one sector that will cascade in a series of non-linear avalanches once the current asset bubbles pop and the current central-bank-created “recovery” falters under its staggering weight of debt, malinvestment and speculative excess.

Financial Repression Authority – Charles Hugh Smith On The Intensifying Pension Crisis

Spiritual News – Events are Intensifying – Pastor David Lankford on The Hagmann Report 12/14/17

Events are Intensifying – Pastor David Lankford on The Hagmann Report 12/14/17
Something is happening – different than we’ve seen before as we enter into the time of year when events normally begin to decelerate. Today, instead, events seem to be accelerating, despite the approach of the “off season” of the Christian and Jewish holidays.

What is happening. more importantly, why? Pastor David Lankford provides Biblical insight into current events.