3 ms·
My concern is mainly how does the world change when the cost of borrowing is negative ? It seems like the rat race into buying more and more assets at extreme
by sumgame 7y ago
My concern is mainly how does the world change when the cost of borrowing is negative ?
It seems like the rat race into buying more and more assets at extreme premiums will continue as long as they believe that these assets will either grow or stay constant in valuation.
It's quite an interesting paradgim shift that I don't think many people are talking about.
Will we close the long term debt cycle via a depression ? Maybe. A sign of an incoming depression is the populist movement all across the globe, I don't see why we won't have a major revolution in the next few decades.
Or what happens if we head into world war 3 ?
I guess the best thing to do now is figure out sustainable cash flows like Howard mentions.