The Economy Is Suffocating, There Is A Major Adjustment Period Coming: Wolf Richter

Hi Steemit Friends,

Let me introduce you to Wolf Richter, he is the creator and owner of wolfstreet.com. He has over twenty years of C-level operations experience, including turnarounds and a VC-funded startup. He earned a BA and MBA in Texas and an MA in Oklahoma, and worked in both states for years – before moving on.

The interview starts out with Wolf discussing the retail apocalypse, how the brick and mortar stores are closing down at a rapid pace and more bankruptcies are on there way. With these stores closing there are millions of square feet of retail space which are now and will become empty. Mall and strip mall owners are trying to re-purpose the space.

Wolf then moves into real estate and writes an article in response to Fed head Neel Kashkari's essay on how the Fed can not see or detect bubbles. Wolf points out that bubbles are very easy to see and detect and he includes many examples of this. Wolf explains that the housing market is in a bubble and it will pop, how bad will it get he has two scenarios on how all of this might play out.

The discussion continues with the credit market and the yield curve and that the Fed is raising rates and unwinding their balance sheets in preparation for the next recession. From his analysis the economy could come down in an orderly fashion or might hit hard all at once. From history it seems the economy when built on an illusion the economy comes down hard.