Kladderadatsch watch, Chief Economist at HSBC edition

The chief economist at HSBC, Stephen D. King, today has an op-ed in the New York Times entitled "When Wealth Disappears."  He compares today's economic prosperity (now slowing) in the United States with the situation in 18th century France:

The decades before the French Revolution saw an extraordinary increase in living standards (alongside a huge increase in government debt). But in the late 1780s, bad weather led to failed harvests and much higher food prices. Rising expectations could no longer be met. We all know what happened next.

Yes, we do, don't we, Stephen...

King, of course, recommends reforms to avert such a social upheaval, but the fact that Congress can't even raise the debt ceiling without much hand wringing and gnashing of teeth (if at all!) doesn't inspire much confidence that his prescription will be followed.