Macroscopic Podcast Alasdair Macleod: UK's Worrying Sterling CRISIS & G7 On Brink of Total INSOLVENCY
Jul 22, 2025
Alasdair Macleod, a seasoned economist known for his expertise in macroeconomics and the precious metals market, delivers a stark analysis of the Western financial landscape. He discusses the alarming rise in UK debt and the deterioration of G7 currency credibility. Alasdair draws parallels to the 1976 crisis, emphasizing rising bond yields and the impact on public welfare. He also explores the dynamics of precious metals, the declining dollar, and the looming threats of excessive debt. Finally, he touches on the speculative nature of Bitcoin and its historical echoes in financial bubbles.
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1976 UK Sterling Crisis Anecdote
- In 1976, the UK IMF bailout involved secret meetings and forced welfare cuts to recover Sterling.
- The same crisis pattern is emerging today with rising interest rates and political challenges.
UK's Fiscal Imbalance Insight
- UK Chancellor Rachel Reeves increased government spending and taxes, pushing wealthy individuals away.
- Welfare costs rise uncontrollably, causing fiscal imbalance and risking bond yield spikes and Sterling's fall.
Rising Interest Rates and Debt Trap
- Interest rates reflect risk and must rise with debt growth to compensate lenders.
- Attempts to cut rates will fail, increasing bond yields and triggering crises in major economies.
