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Worst that can happen? If banks have used peoples' savings to purchase Evergrande debt or anything related then the banks may not get repaid which would result
by itronitron 3y ago
Worst that can happen? If banks have used peoples' savings to purchase Evergrande debt or anything related then the banks may not get repaid which would result in the banks losing peoples' money leading to people spending less money resulting in a recession or depression.
- landemva 3y agoInstead of default the bad debt and a recession, what alternative is there? Prop it up a little longer? Default on everything, go to CBDC, and issue everyone monthly CBDC tokens to buy food?
- rightbyte 3y agoI guess you could forgive the loans people took for houses that were not built and let the bond holders share the hit.
- IG_Semmelweiss 3y agoI think some of the bondholders are banks. The others are ccp cadre. That will trigger a run.