While societal decline can be a long, slow process, it can unravel rapidly. The tipping point is when the outside world loses confidence in a nation's core institutions, such as its legal system or central bank. This triggers a sudden flight of capital, talent, and investment, drastically accelerating the collapse.

The U.S. is more likely to follow Argentina's path: currency inflation, populist policies funded by deficit spending, and an eventual economic collapse leading to a century of stagnation. This is a more insidious threat than a dramatic revolution.

Once a destination for American economic opportunity, Venezuela's economy imploded after nationalizing its top industry and imposing widespread price controls. This recent, dramatic collapse serves as a powerful, real-world example of how such policies can lead to ruin, yet they remain popular.

History shows a strong correlation between extreme national debt and societal breakdown. Countries that sustain a debt-to-GDP ratio over 130% for an extended period (e.g., 18 months) tend to tear themselves apart through civil war or revolution, not external attack.

Headline GDP figures can be misleading in an environment of high immigration and inflation. Metrics like per-capita energy consumption or the number of labor hours needed to afford goods provide a more accurate picture of individual well-being, revealing that many feel poorer despite positive official growth numbers.

Economic uncertainty and anxiety are the root causes of political violence. When governments devalue currency through inflation and amass huge debts, they create the stressful conditions that history shows consistently lead to civil unrest.

Economist Peter Schiff highlights a historical pattern where countries, except for Japan, that surpass a 130% debt-to-GDP ratio experience internal strife, such as civil war or revolution. This is due to the inability to fund government programs, leading to societal breakdown and extreme political polarization.

A new French-funded cable car in Antananarivo, intended to ease traffic, became a symbol of government failure. Too expensive for most citizens and often inoperable due to power cuts, it highlighted deep inequality. It is no coincidence that protesters targeted and set fire to its stations, turning a development project into a flashpoint for unrest.

History demonstrates a direct, causal link between widening inequality and violent societal collapse. When a large portion of the population finds the system unbearable, it leads to events like the French Revolution—a blunt cause-and-effect relationship often sanitized in modern discourse.