During an economic downturn usually real prices of real estate tend to fall by 36% over a period of six years. The GDP per capita, still in real terms, falling by 9.3% overall, while the unemployment rate climbing for five years, with an increase in "normal" about seven percentage points. The situation closest to the current circumstances, we calls the "Great Contraction", is the Great Depression of the 30s. At that time, unemployment in Germany and Denmark over 30%. Construction activity decreased by 82% in the United States. Chile saw its exports fall by 90%.
Another consequence, tax revenues fall during an economic crisis. Inflate government spending (especially when the authorities are prepared to do "whatever it takes" to generate a cover). Usually after a financial disaster, the public debt increases of 86% over a period of three years. Both Great Britain that the U.S. now record deficits of over 10% of national GDP. Neither country has any plan to reduce its debts Hon. Defects government, currency devaluations and hyperinflation ahead at the turn.
Someone once said: "Paying down debt is a bit like dying. We try to extend the deadline as long as possible ... but credit is not eternal."
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