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You're going to have to explain that one in detail for me. We have now generated trillions in liquidity for corporations. Maybe I'm dumb; walk me through how th
by EpicEng 6y ago
You're going to have to explain that one in detail for me. We have now generated trillions in liquidity for corporations. Maybe I'm dumb; walk me through how this would "crash the banks", real estate, and "the entire economy".
- alecco 6y agoIt creates a cascading effect. There's an insane debt bubble and a lot of that debt will lose rating, so many investors will drop it creating a feedback loop. Dumb money have to drop it because of their mandate and/or rules, even if this is bad for their other assets (i.e. more debt they hold). This would be the dumbest idea right now. I hope government agencies worldwide can resist the attack from media. [Don't get me wrong, fuck banks, evil hedge funds, and speculative landlords, but they are barely going to be hit by something like this.]