Europe's sovereign debt crisis isn't over and will continue to spread, first to Japan and then to the U.S., warned renowned Harvard University professor, Niall Ferguson.
"There are more of those (sovereign debt crises) to come and, ultimately, it is going to come to Japan and the United States. And those crises of sovereign debt will be the big story," he told CNBC Wednesday.
The explosion of public debt will inevitably lead to either inflation or default, Ferguson added.
"It just depends on whether you borrow in your own currency in which case is probably going to be inflation; or someone else's, in which case is probably a default."
The British historian says further quantitative easing from the U.S. Federal Reserve will not help the economy, as the extra liquidity is unlikely to stay within the country. Read more
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