MacroVoices · Thursday, October 29, 2026
Luke Gromen warns that large-scale white-collar layoffs driven by artificial intelligence at companies like Microsoft, American Express, and Barclays could lead to significant defaults on the $19 trillion consumer debt market, threatening the equity capital base of the U.S. banking system.
“there is $19 trillion in consumer debt outstanding. Mortgages, credit cards, auto loans primarily.”
“every 5% default rate increase on consumer debt as a result of AI unemployment or deflation in wages is equal to 40%, 4-0% of the total equity base of the United States banking system.”