3 ms·

guess what, country is no private citizen. it isn't even a family or a company, so pictures like this are deeply flawed: https://fbcdn-sphotos-a.akamaihd.net/h

• pessimizer 15y ago
  Exactly. There's no global police force that comes to foreclose on your country when your debt hits a certain level. What happens is that when people have doubts about your ability to pay your debts on time (relative to other investment options,) you have to pay a higher interest rate. But in the case of US debt, the opposite seems to be true: http://4.bp.blogspot.com/-iFxt2vNk2y0/TZNxgTINNEI/AAAAAAAAAWw/ZMKYv33AOnA/s1600/spending_vs_rates.JPG http://4.bp.blogspot.com/-iFxt2vNk2y0/TZNxgTINNEI/AAAAAAAAAW... When Moody's downgraded the US credit rating, the response was a rush to, not a flight from government bonds.