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The Next Economic Bubble? This Former Banker Says Corporate Debt

Published August 20, 2018 at 12:40 PM EDT
Traders work on the floor at the closing bell of the Dow Industrial Average at the New York Stock Exchange on Aug. 16, 2018 in New York. (Bryan R. Smith/AFP/Getty Images)
Traders work on the floor at the closing bell of the Dow Industrial Average at the New York Stock Exchange on Aug. 16, 2018 in New York. (Bryan R. Smith/AFP/Getty Images)

When economic bubbles burst, recessions often follow: In 2001 it was dot-com stocks, in 2007 it was homes and mortgage-backed securities. Today, some economists are sounding the alarm about corporate debt, which has grown by $2.6 trillion in the U.S. between 2007 and 2017, according to data from the McKinsey Global Institute.

Here & Now‘s Peter O’Dowd speaks with William D. Cohan (@WilliamCohan), a former investment banker and the author of four books about Wall Street.

Copyright 2021 NPR. To see more, visit https://www.npr.org.