21 pemikiran pada “Japan Is Messing Up The World Economy”

  1. Hey Atrioc, I think you're missing a key point about what happens when interest rates change. Most government debt (and a lot of private debt) is issued with fixed rates, not floating rates. That means that when interest rates rise, the interest payments on existing debt don't change. So servicing the debt costs the same amount, the main problem is that defecits become more expensive, since they are funded by newly issued debt, at the higher rate. For an analogy with fixed-rate mortgages, homeowners who already have mortgages don't see a change in their mortgage payments when rates change. Only new house buyers suffer from the higher rates.

    In short, raising rates would not cause all government spending go to interest payments, like you say at 9:30 For the most part, it wouldn't impact payments at all: the Japanese government could just keep paying back their cheap loans. Instead, the problem is that the cost of the debt makes running a surplus really difficult, so their new borrowing becomes more expensive.

    Balas
  2. Saying Venezuela’s election is fraudulent is fucking dumb. There are literally 100,000s of people in the street in support of Maduro. America has literally tried to coup them multiple times. You sound dumb.

    Balas
  3. How the US deals with their economy reminds me of how California used to deal with forest fires. They would put out all the tiny ones which built up a huge amount of dead burnable stuff so in the future every forest fire was that much more extreme

    Balas
  4. He got so defensive at that last comment lmao. It literally didn't call him old, he was saying "hey you're pretty good at making this stuff understandable, do you think you'd become a teacher at some point". Me thinks he doth protest too much

    Balas
  5. I knew we was in many bubbles since 2021 with cos bragging about making so much money thanks to covid. Then for some reason they raised prices to keep up the income. Yet no they pushed the people too hard and now rip bozo

    Balas

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