Article #4

Article number four dealt with hidden debt that leads to huge underestimations of what, specifically what kind/ degree of crisis,  could happen in the future. Currently the debt of countries around the world seem normal, or moderate, when compared to historic standards and previous crisis. But as previously stated the numbers are could quite possibly be underestimated. An interesting fact that struct me was the fact that recently ecuador received Chinese loans that exceed 10% of it's GDP. I still can't quite picture what GDP is but it seems that the amount of money that China has loaned Ecuador is ridiculously large. Also China has borrowed a ton of money, primarily US dollars, that make the situation a bit worse. The article also mentioned the increasing economic vulnerability of the emerging world which pose risk to emerging economies in the world. Many economies are revealing "tell-tale" signs of future economic crisis such as a slowdown in economic growth, growing current-account and fiscal dificits, and a reduction or outright reversal in capital flows and I'm not sure what that means but now I know that thats a negative. Although all of these "symptoms" are pretty bad and potentially detrimental to the economy it's not as bad as hidden debt because, well, the debt is hidden and by the time it's found it probably is too late. The author was not as biased as the previous authors (awkward if it's the same one but I'm too lazy to check). There was not as much "the world is doomed" type of thing going on.