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Also, borrowing money for purchase of real assets is a pretty decent inflation hedge, when your central banks and government are injecting trillions of dollars
by jiscariot 5y ago
Also, borrowing money for purchase of real assets is a pretty decent inflation hedge, when your central banks and government are injecting trillions of dollars of newly printed money in to the economy.
- AnimalMuppet 5y agoThe problem is that assets (even real assets) can be in a bubble when your central bank and government are injecting money into the economy. If you buy with borrowed money, and the bubble pops, then you own money on an asset whose value cratered.