Debt bomb

Debt bomb

A default on debt and obligations by a major financial_institution that disrupts the stability of the economic system.

Debt Bomb

A situation in which a major institutional investor, especially a bank, defaults on a debt. A debt bomb can cause massive confusion and panic throughout the national and global economies, particularly in an economy heavily dependent on debt and easy credit availability. A debt bomb can trigger government intervention such as a bailout. See also: Lehman Brothers bankruptcy, Bear Stearns bankruptcy, Credit crunch, Too-big-to-fail.
References in periodicals archive ?
Instead of ploughing energy and investment into efforts to create an EU where the next Amazons, Intels, Googles, Samsungs and Apples will be created, we see the sad spectacle of European leaders halfheartedly trying to defuse Greece's debt bomb while looking back over their shoulders at their national electorates.
But with 90 days left to bridge the ideological and partisan divide before another crisis erupts, the fuse on America's debt bomb is getting shorter and shorter.
We can no longer sit by while this student debt bomb keeps ticking.
Coburn, author of The Debt Bomb, cited the $2 trillion the federal government has spent on education since Congress passed the first Elementary and Secondary Education Act in 1965, along with $18 billion a year that is being spent on job training programs.
Earlier this year, NACBA focused national attention on the "student debt bomb," which then was identified as the fastest growing consumer debt problem being handled by consumer bankruptcy attorneys.
He believes we (a group that can loosely described as the 'Western world') have created a debt bomb that's about to blow up in our faces.
THE DEBT bomb blast has shaken several corporate czars.
Everything was up in the air and what with the $25 billion debt bomb in 2009 I can even forgive developers for being non-communicative towards their investors.
Graham Bowley and Catherine Rampell, "Looking for the Next Debt Bomb," International HeraldTribune, Dec.
We want Wall Street heads to roll for the toxic debt bomb, but skip past the mirror when assigning blame.
Watch closely how the new president's financial team deals with the so-called debt bomb, approximately US$17 billion of which comes due in April and May.