The latest chapter starts in 2008 when central banks bailed out the financial system by effectively printing trillions of dollars.
Put it together and debt-to-GDP ratios over 100% in basically the entire world - nearly 150% for the US - are running into paralyzed central bankers.
That's precisely how central bankers responded to the inflation of these past two years, hiking rates a total of 276 times worldwide.
Recession, historically, makes deficits and debt even worse - by several trillion in the case of the US. So it's the three horsemen, a perfect storm of inflation, sovereign debt, and recession.
The problem is that with inflation at 6 to 7% and rising, central banks can't convert debt to money for fear they'll lose their independence if they can't get a handle on inflation.
Monetary meaning reduce the ability of central banks to finance those deficits via inflation.
If sovereign defaults are coming, it would take banks, insurers, and pensions down with it.
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