mo4ch:>Economic recovery talk is smoke & mirrors as corporate debt bubble ready to bust – Richard Wolff | Mo4ch News

Low interest rates allowed companies to borrow money at no cost. But instead of increasing productivity, the financing was used to drive up the cost of shares, setting the stage for imminent collapse, Prof. Richard Wolff told RT.US private corporate debt stands at a whopping $9 trillion, and that spells major trouble for the overheated economy as soon as recession sets in, Professor Wolff, economist and co-founder of ‘Democracy at Work’, told RT America’s Rick Sanchez.Wolff said that unprecedentedly low interest rates are a scourge, not a blessing, for the US economy, as they only create the appearance of recovery, rather than contributing to growth in productivity.“It’s a very dangerous place we’ve come to and that’s why all this talk of ‘recovery, recovery’ hides the fact that the things we did to look like we were recovering created the greater vulnerability than what we had in the first place.”Also on rt.comBoom Bust asks if the bubble is bursting as record number of Americans fal…