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Rates can never rise. Americans and American corporations are too indebted with no room to finance increased debt servicing costs. The dilemma is the longer rat
by anewaccount2021 6y ago
Rates can never rise. Americans and American corporations are too indebted with no room to finance increased debt servicing costs. The dilemma is the longer rates stay low, the more debt is piled on. Ultimately there must be a complete reset.
- phkahler 6y agoYes. The 2008 bubble popped when the fed made an abrupt upward change in rates. Because housing prices vary inversely with rates, that put people under water. Now imagine the same effect with corporate and government finances on a much larger scale.