The world is heading toward a financial crisis – the state of US politics has left us ill-prepared (opens in new tab)

Trump’s second term has revealed that Washington’s policy response to such a crisis will be misguided and full of chaosA bona fide financial crisis has not broken out since the US housing meltdown of 2007. Even the Covid pandemic and subsequent upsurge in inflation didn’t lead to financial upheaval. The jitters produced by the collapse of Silicon Valley Bank in 2023 were soon forgotten.Given this stability, it might take some effort to convince financial markets that another big one is around...