5 ms·

Would you be kind and explain how this is works? (my suspicion is that it is akin "if you owe bank a $10000, you have a problem. If you owe bank a $100mil, bank

by tandr 6y ago

Would you be kind and explain how this is works? (my suspicion is that it is akin "if you owe bank a $10000, you have a problem. If you owe bank a $100mil, bank has a problem", but please don't let this idea influence your answer) Thank you.

tyre 6y ago
China has taken on the risk of us paying the $1tn. If they were to get incredibly aggressive, for example starting a war, then we could clear the debt. We just don't pay. $1tn is a lot of money to any country, even one as large as China. Defaulting on our debt would be a huge fucking deal for us as well, but if the stakes were high enough others would understand that we couldn't pay someone money while at war.
- hertzrat 6y ago
  Both nations are nuclear armed. Creating a nuclear winter over a debt is a sketchy plan
  - mywittyname 6y ago
    Especially such in small amount. It sounds like a lot of money, but the US War in Iraq tallied over a trillion, with Afghanistan matching that amount. The CARES Act is estimated to have cost $2 trillion. Countries are not going to go to war over such a petty amount of money. The costs of such a war would be 100x that amount, easily.
    - hertzrat 6y ago
      The cost of two first world nuclear armed nations going to war can't really be measured in dollars. Even if nukes didn't come into play, I'm listening to Dan Carlin's Hardcore History episodes on the War in the Pacific right now. The death tolls and misery is just staggering, and he hasn't even gotten to the firebombing where I'm at yet.
Smithalicious 6y ago
If I loan my girlfriend a hoodie and then break up with her, I'm not getting that hoodie back
eitland 6y ago
There's a saying at least here in Norway that goes along tje lines of: "If you owe the bank a 5 million NOK and cannot pay then you have a problem. If however you owe the bank 500 million NOK and cannot pay then the bank has a problem."
- GauntletWizard 6y ago
  This one is just as common in the US, precise numbers and currency aside.

by tandr 6y ago

tyre 6y ago

China has taken on the risk of us paying the $1tn. If they were to get incredibly aggressive, for example starting a war, then we could clear the debt. We just don't pay. $1tn is a lot of money to any country, even one as large as China. Defaulting on our debt would be a huge fucking deal for us as well, but if the stakes were high enough others would understand that we couldn't pay someone money while at war.

hertzrat 6y ago
Both nations are nuclear armed. Creating a nuclear winter over a debt is a sketchy plan
- mywittyname 6y ago
  Especially such in small amount. It sounds like a lot of money, but the US War in Iraq tallied over a trillion, with Afghanistan matching that amount. The CARES Act is estimated to have cost $2 trillion. Countries are not going to go to war over such a petty amount of money. The costs of such a war would be 100x that amount, easily.
  - hertzrat 6y ago
    The cost of two first world nuclear armed nations going to war can't really be measured in dollars. Even if nukes didn't come into play, I'm listening to Dan Carlin's Hardcore History episodes on the War in the Pacific right now. The death tolls and misery is just staggering, and he hasn't even gotten to the firebombing where I'm at yet.

Smithalicious 6y ago

If I loan my girlfriend a hoodie and then break up with her, I'm not getting that hoodie back

eitland 6y ago

There's a saying at least here in Norway that goes along tje lines of: "If you owe the bank a 5 million NOK and cannot pay then you have a problem. If however you owe the bank 500 million NOK and cannot pay then the bank has a problem."

GauntletWizard 6y ago
This one is just as common in the US, precise numbers and currency aside.