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>That demagogic rhetoric comes up commonly and it makes the same fundamental mistake or perhaps not wanting to understand that serving your creditors serves you
by cinquemb 8y ago
>That demagogic rhetoric comes up commonly and it makes the same fundamental mistake or perhaps not wanting to understand that serving your creditors serves you as long as you need credit. The consequence for defaulting is not getting any more loans.
Yeah, idk. How many times has Argentina defaulted in the past 100 years? How many times has the IMF swooped in for that basket case and others like it?
All this means is that their yields will go up, and make it super attractive vs holding stocks, esp if you can lock in fx rates with forwards contracts on the EURUSD.
- tonyedgecombe 8y ago>All this means is that their yields will go up This isn't a small thing for Argentina.
- cinquemb 8y agoOk fair, but the come down from the ZLB high isn't going to be pretty anywhere, except for those who managed to see past the smoke and mirrors in inflated asset prices in all markets and incredible mis-allocation of resources the world has been engaged in… and even then, they will still have to deal with the fallout of those who took the bait (or "elected" people who took the bait on their behalf) and will be pissed… as we're seeing now all over the world today, and these were supposed to be the good times lol /me sighs