Impending Global Conflict and Economic Impact

A potential direct military conflict between the US and China, particularly over Taiwan, is increasingly likely and would have devastating effects globally. Such a conflict could lead to a significant economic downturn, with estimates suggesting that a conflict could wipe out around $10 trillion, or about 10% of the world’s GDP, within the first year. This situation is viewed with concern as both nations are nuclear powers, which raises the stakes for escalation in the region and threats to global security and stability. The urgency to address tensions is evident, as the longer action is delayed, the more precarious the situation becomes.