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"Why are foreign investors likely to accept shares in your business denominated in, say, Rupiyah?" Because if that country wants to sell their stuff to you, th
by neilwilson 3y ago
"Why are foreign investors likely to accept shares in your business denominated in, say, Rupiyah?"
Because if that country wants to sell their stuff to you, that would their only option - other than taking Rupiyah directly.
And if your country doesn't do it, then some other country will - because new sources of demand don't come by every day.
That's how you avoid a 'debt trap' and the debt prison that comes from countries not being able to go bankrupt.
And as Steve Keen regularly says you are better off studying System Dynamics than economics. It has more application to the real world.
- dash2 3y agoI predict to you that demand for shares in emerging country currency in exchange for real goods will be low, and that no country will ever get rich by this method, because none ever has. As for system dynamics, I don't know about it - maybe it's great. But I do know a little economics, and a glance at NBER reveals very many deeply practical applications from unemployment to inequality to supply chains to sexual harassment: https://www.nber.org/papers?page=1&perPage=50&sortBy=public_date https://www.nber.org/papers?page=1&perPage=50&sortBy=public_.... So I'll repeat my point: do you know economics? If not, what makes you so confident to pontificate about it?