> The degree of indebtedness is important. I think what you mean is the ability to service the debt under a variety of non "act of god" scenarios. There are a

> The degree of indebtedness is important. I think what you mean is the ability to service the debt under a variety of non "act of god" scenarios. There are a lot of companies around the world defaulting on USD denominated debt now because of rising interest rates, that at ZLB, would have been able to keep racking up the debt because it would have still been serviceable. Same is true for a lot of governments with a decent amount of USD denominated debt that are finding it hard to service because of currency outflows from domestic financial (debt/stock) markets in response to rising interest rates (combined with a lack of sufficiently acceptable local options). >It looks like the government picking winners and losers, and governments have a terrible track record of making those decisions. It definitely seems like this to me, and is more pronounced/easier to see in places where the state has a heavier influence on the markets. But even this will only last so long before it doesn't.