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 ?

The Freedom from Debt Coalition (FDC), a member of Stop Kaliwa Dam alliance, warned against a ticking 'debt bomb,' referring to China-funded projects.

Kaliwa Dam opponets cite lack of indigenous people's consent

DAVOS -- As developing countries face the threat of a ticking 'debt bomb', experts have suggested reducing reliance on foreign-funded mega projects and running primary budget surpluses to stop further accumulation of debt.

Less reliance on foreign funds suggested as 'debt bomb' looms

There are concerns galore: Brexit, trade wars, Italy's fight with the European Union, renewed US sanctions on Iran, a Chinese debt bomb, jittery stock markets, intermittent capital flight from emerging markets, and more.

Fiscal support as global economy faces headwinds

Financial authorities and regulators should take radical steps to defuse the debt bomb before it is too late.

Exploiting debtors

In fact, a company some consider to be one half of radio's "dynamic debt bomb duo" had a solid quarter, and is perhaps in the earliest stages of a massive turnaround led by its iHeartRadio app — a smartphone entertainment platform that puts iHeart one step ahead of problematic Pandora Media.

An Upward Quarter For iHeart

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.

Political solution needed for Greece; COMMENT

Far too often, the result is a low-value debt bomb, backed nearly entirely by government funding.

Betrayers of the dream: how sleazy for-profit colleges disproportionately targeted black students

The debt ceiling was no more than prolonging the fuse of the US debt bomb one inch linger.

AMERICA JUST KICKED THE CAN DOWN THE ROAD

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.

China's wake-up call from Washington's debt-ceiling debacle

NACBA first sounded the alarm on the rising amount of student loan debt with its 2012 report, “The Student Loan 'Debt Bomb': America's next Mortgage-Style Economic Crisis?”

Local Attorney Going to Washington to Sound Alarm on Emerging Student Load Debt Crisis, Other Key Issues

We can no longer sit by while this student debt bomb keeps ticking."

Student debt relief floated

One of the more curious financial facts about the United States is that it has a student debt bomb. Outstanding red ink collected by students for their education is over one trillion dollars.