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This is the single biggest mistake every single emerging market has made in the past. Overleveraging on dollars. These countries need to realize that being in
by NTDF9 7y ago
This is the single biggest mistake every single emerging market has made in the past. Overleveraging on dollars.
These countries need to realize that being in debt to a foreign currency is never worth it. The short-term booming economy because of a market flooded with dollars doesn't ever outweigh long-term costs.
See: Argentina, Brazil
- qtplatypus 7y agoMany emerging markets don’t have enough capital to invest in infrastructure and businesses in order to build there economies. When done responsibly it’s a way to grow your economy.