Lena Petrova: Prepare for Economic Downturn as Money Supply Declines and Government Spending Surges

A potential economic storm is brewing, according to Steve Hanke, Professor of Applied Economics at Johns Hopkins University. In a recent discussion with financial analyst Lena Petrova, Hanke voiced serious concerns about the current state of the U.S. economy, pointing to a dangerous combination of declining money supply and escalating government spending as key indicators of a looming economic downturn. Hanke, renowned for his expertise in currency boards and hyperinflation, argues that the recent contraction in the U.S. money supply, specifically the M2 measure, is a significant red flag. M2, which includes cash, checking deposits, and savings deposits, serves as…