Governments around the world have used near-free borrowing to suspend the laws of economics. One of those laws concerns whether a company can pay back what it owes. Liquidations are at very low levels, while corporate debt levels are at historic highs.  One of the most obvious consequences of Covid-19 was a sharp ramping up of corporate debt issuance as companies raced to increase liquidity as their revenues fell off a cliff. This build-up feels like an unsustainable process. What will happen to corporate debt when the Covid crisis ends? Wynne Godley is one of my intellectual heroes. In a…

Join The Currency

Special offer: Full annual membership for just €200.

Don’t miss out on what is going on with our daily unique stories from our team of skilled journalists and insightful commentators.

Members of The Currency get full access to over 1,500 exclusive interviews, investigations, and analysis, plus over 75 podcasts.

Annual membership is just €200 for the first year, a saving of €100.

Or try The Currency for the first month for just €5, a saving of €20.

Cancel at any time.

To become a member today click here.