Do big government debts threaten our collective well-being? Are there limits to debt growth? Can a big, important reserve currency country like the United States really go broke and what would that look like?

For decades, politicians, policymakers and investors have debated these questions, but the answers have eluded them. In this groundbreaking book, Ray Dalio, one of the greatest investors of our time who anticipated the 2008 global financial crisis and the 201012 European debt crisis, shares for the first time his detailed explanation of what he calls the ‘Big Debt Cycle’. Understanding this cycle is critical for helping policymakers, investors and the general public grasp where we are and where we are headed with the debt issue. Dalio’s model points toward surprisingly straightforward solutions for dealing with the debt problems that the US, Europe, Japan and China face today.

How Countries Go Broke also shows how these debt problems