•Richard Bookstaber, who predicted the 2008 Global Financial Crisis, warns the next economic shock could be more severe.
•He identifies three key triggers: artificial intelligence, opaque private credit markets, and geopolitical tensions.
•Bookstaber highlights the rapid rise of private credit, a $2 trillion market lacking transparency and liquidity, as a major fault line.
•The AI boom creates systemic fragility due to concentrated investment in dominant tech firms and its deep intertwining with private credit.
•Geopolitical developments, such as energy shocks or disruptions involving Taiwan, could act as catalysts, spreading stress across interconnected systems.
