(NaturalNews) The global economy may be about ready to take a massive hit if a series of imminent crises converge in just the right – or actually just the wrong – way.

As reported by SHTFPlan.com, global debt has been steadily rising for years, and as that has happened, conditions for a debt avalanche have been created. "Once it accumulates enough mass, and momentum is not sufficient to stop its collapse, it overwhelms its host, and will come crashing down on the rest of the system, too," Mac Slavo reported for the site.

Around the world, Slavo says, there are literally hundreds of governments on the local, state and national level, including not a few businesses and private households, heavily indebted and reaching the point of no return. Already heavily in debt, many of these entities are set to default on the repayment of loans (many of which were made to keep nations afloat to begin with). When that happens, there will be a series of debt crises that will result in market chaos and a dramatic tightening of credit for nations and those in the private sector who are deemed most vulnerable.
 

Chain reaction of debt

Last month, fears grew that Puerto Rico was set to default on a massive loan payment – something that did not happen, but remains a possibility. On Dec. 1, Puerto Rican Gov. Alejandro Garcia Padilla told the Senate Judiciary Committee that the Caribbean island protectorate was essentially out of money, saying, "Let us be clear, we have no cash left." So without congressional action, the government there is likely to default.

The U.S. government likely won't let that happen, instead opting to burden taxpayers with another bailout, thus perpetuating the failed socialist experiment on the island that has seen its government overspend on welfare services and public pensions, leaving it about $73 billion in debt. But, as Slavo noted, Mexico is also "ready to crash and bracing for impact."