In a globally collective mass act of amnesia, we have all decided to ignore the fact that somewhere out there are $1,500 trillion of derivatives, constructed from our global GDP of just $55 trillion. We can't afford to write them off, we can't easily deflate them and our governments refuse to divorce themselves from the casino banks that own them. So what the heck, we say, let's just blow up that bubble a bit more - what's to lose?
So the world's banks suck up the billions that governments are pumping into the system and hold onto them as they repair the slight tears in their balloon balance sheets, fire the gas and gain a little altitude, with bumper bonuses for all.
Except I think it's far from over. That derivatives balloon will burst before it deflates away harmlessly.
And your share of the debt won't be the comfy £4,000 each that the press quote all the time. £4k is a very reassuring figure for most people. "I can take a £4k hit" we say; "it's not that much."
No, your share of the balloon burst will be around 27 times your annual income if those derivatives prove completely worthless; if they are only 20% over valued, your share will be around five and a half times your annual income. A long way from that comfy £4k, anyway.
Ok, so let's all put our fingers in our ears and all together ... "la la la ..."