In 1976, economist Herbert Stein—father to Ben Stein, known for his role in Ferris Bueller’s Day Off—observed that the trajectory of U.S. government debt was alarming and unsustainable. He famously articulated what is now known as Stein’s Law:
“If something cannot go on forever, it will stop.”
Stein’s insight may hold true in theory; however, the trend of U.S. government debt has continued well beyond his lifetime. Herbert Stein passed away in 1999, long before the anticipated financial collapse. Those of us reading this today might not be so fortunate.
It’s intriguing to consider that sometimes, apocalyptic predictions come and go while the world persists. We suspect that our current situation, characterized by soaring debt, deficits, and state-sanctioned economic turmoil, is one of those moments.
We will delve deeper into this topic shortly. First, let’s take a step back in time—several centuries back, to be exact—for valuable context, insight, and lessons learned.
In 1696, William Whiston, a disciple of Isaac Newton, authored a book with the ambitious title, “A New Theory of the Earth from its Original to the Consummation of all Things.” Within its pages, he claimed that the Great Flood of Noah was caused by a comet. Continue reading
Conclusion: As we reflect on insights from the past, it becomes evident that the challenges we face today echo through history. Understanding the cyclical nature of human mismanagement may help us navigate our uncertain economic future.
