The dollar still remains a global reserve currency and that's one factor that has prevented massive devaluation of the currency.

However, the world is getting to a point where more debt will be needed to service existing debt. That's a point of no return.

I believe that no big government will default on debt. However, most governments will try to inflate their way out of debt. That's invisible taxation for the common man.

Further, interest rates are at historic lows. As inflation accelerates and interest rates trend higher, debt servicing cost will surge.

Therefore, we are in the inescapable debt trap. It remains to be seen when a financial crisis bigger than the financial crisis of 2008-09 hits us.

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