Economic Risk Breakdown
Methodology
Our Economic Collapse Risk Monitor employs a comprehensive real-time analysis framework that processes 150+ news articles across 10 critical economic categories to assess systemic collapse risks:
Risk Categories (Equal Weight Analysis)
- Macro Growth: GDP contraction, recession indicators, economic growth patterns
- Inflation & Monetary: Inflation rates, interest rate changes, monetary policy impacts
- Labor & Income: Unemployment levels, job market conditions, wage trends
- Sovereign & Fiscal: Government debt levels, fiscal policy, sovereign credit risks
- Banking & Credit: Banking sector stability, credit availability, financial institution health
- Markets & Liquidity: Stock market performance, liquidity conditions, market volatility
- External & FX: Currency stability, foreign exchange trends, capital flows
- Housing & Household: Real estate markets, household debt, housing affordability
- Corporate Sector: Corporate earnings, business failures, sector performance
- Trade & Supply: International trade, supply chain stability, export/import trends
Analysis Process
- Multilingual Data Collection: Real-time news analysis across 12 languages (English, French, Spanish, German, Italian, Hebrew, Arabic, Norwegian, Chinese, Russian, Japanese, Korean) with 15+ articles per category
- Comprehensive Keyword Matching: Multiple keyword sets per category to capture diverse economic indicators and risk signals
- Enhanced Sentiment Analysis: Dual sentiment scoring using positive and negative keyword detection with ratio-based risk calculation
- Risk Scoring: Sentiment ratios converted to 0-100 risk scale with equal-weight category averaging for overall score
- Real-time Processing: Live news fetching with immediate analysis and display updates
Risk Levels
- Low Risk (0-24): Stable economic conditions with minimal collapse indicators
- Moderate Risk (25-49): Some economic stress signals present but manageable
- High Risk (50-74): Significant economic vulnerabilities with elevated collapse probability
- Critical Risk (75-100): Severe economic distress with imminent collapse potential