From the 1990s onward, the financial sector created a vast array of instruments designed to separate investors from their money, financial derivatives of an ever-increasing level of complexity. At some point, this complexity reached a point where even the creators of the derivatives themselves didn't understand them.

When the next big problem comes online, be it the Euro crisis, nuclear proliferation, an overstretched Internet, a killer flu, or any of the other possibilities I consider in X-Events, we will suffer a complexity overload.

If you ask which of the scenarios I think is most dangerous, though, I will give a different answer. In that form of the question, I regard a nuclear attack, terrorist-generated or otherwise, as the most threatening combination of likelihood and long-term damage to modern life today.

At some point, the world is going to have to bite the bullet and accept a huge downsizing in its way of life to bring the assets-to-debt ratio back in touch with reality.

The process of globalization has now interconnected almost everything ranging from financial markets to transport networks to communication systems in a huge system that no one really understands.

From the 1990s onward, the financial sector created a vast array of instruments designed to separate investors from their money, financial derivatives of an ever-increasing level of complexity. At some point, this complexity reached a point where even the creators of the derivatives themselves didn't understand them.

My own guess is that quite quickly the machine intelligence will start dreaming machine dreams and thinking machine thoughts, both of which would totally incomprehensible to us. This would then lead to each species, we and the machines, moving off on to its own separate life trajectory.