3 ms·

I'm wondering how much longer it can play such game. If current trend does not changes, its revenue will soon unable to cover the interests.

by mrjin 3y ago

6nf 3y ago
Inflation fixes that
- ejb999 3y ago
  not if interest rates go up at the same rate, or higher than inflation
  - 6nf 3y ago
    I mean historically
smitty1e 3y ago
Revenue hasn't covered costs in decades. If the BRICS overthrow the U.S. dollar, there will be a come-to-Beevis moment in the U.S.
- kmlx 3y ago
  > If the BRICS overthrow the U.S. dollar imo there is zero chance of BRICS ever amounting to anything more than a photo-op every couple of years.
- ChatGTP 3y ago
  Will there? I think what's behind all this reckless spending is the fact that the US armed forces are the biggest and most powerful in the world. While they have the most guns and are prepared to use them, it's not going to be easy to change this world order. Like, who's going to stand over the 7ft 300lb thug? The US wont just sit around while their position is eroded,at least in my opinion. We're also relatively good allies and I think this goes a long way too. If China had a 10x more powerful military and Navy than the USA, had experience in combat and was willing to use it. It wouldn't take long for the Yuan to win.
  - RandomLensman 3y ago
    You need a currency that buys stuff and that other people want to have - military might alone isn't sufficient at all. The ruble was never a great currency, no matter how mighty the USSR was, for example.
  - bobthepanda 3y ago
    China does not want the yuan to “win.” The Chinese state views control over capital flows as more important than the prestige of reserve currency. They can, and have, clamped down significantly on foreign outflows when they deem it necessary.
- throw0101c 3y ago
  > If the BRICS overthrow the U.S. dollar, there will be a come-to-Beevis moment in the U.S. Yeah: > Pretty straightforward really. You combine Brazil's history of monetary stability, with Russia's respect for property rights, India's domestic tranquility, China's financial transparency, and South Africa's investment opportunities - and hey presto, you've got a new global money * https://twitter.com/davidfrum/status/1665053372402081792 https://twitter.com/davidfrum/status/1665053372402081792 How anyone lump China and India, not exactly the best of friends, together is beyond me.
  - enterprise_cog 3y ago
    Why would anyone care what lying David Frum says about BRICS?

I'm wondering how much longer it can play such game. If current trend does not changes, its revenue will soon unable to cover the interests.

by mrjin 3y ago

I'm wondering how much longer it can play such game. If current trend does not changes, its revenue will soon unable to cover the interests.

6nf 3y ago

Inflation fixes that

ejb999 3y ago
not if interest rates go up at the same rate, or higher than inflation
- 6nf 3y ago
  I mean historically

smitty1e 3y ago

Revenue hasn't covered costs in decades. If the BRICS overthrow the U.S. dollar, there will be a come-to-Beevis moment in the U.S.

kmlx 3y ago
> If the BRICS overthrow the U.S. dollar imo there is zero chance of BRICS ever amounting to anything more than a photo-op every couple of years.
ChatGTP 3y ago
Will there? I think what's behind all this reckless spending is the fact that the US armed forces are the biggest and most powerful in the world. While they have the most guns and are prepared to use them, it's not going to be easy to change this world order. Like, who's going to stand over the 7ft 300lb thug? The US wont just sit around while their position is eroded,at least in my opinion. We're also relatively good allies and I think this goes a long way too. If China had a 10x more powerful military and Navy than the USA, had experience in combat and was willing to use it. It wouldn't take long for the Yuan to win.
- RandomLensman 3y ago
  You need a currency that buys stuff and that other people want to have - military might alone isn't sufficient at all. The ruble was never a great currency, no matter how mighty the USSR was, for example.
- bobthepanda 3y ago
  China does not want the yuan to “win.” The Chinese state views control over capital flows as more important than the prestige of reserve currency. They can, and have, clamped down significantly on foreign outflows when they deem it necessary.
throw0101c 3y ago
> If the BRICS overthrow the U.S. dollar, there will be a come-to-Beevis moment in the U.S. Yeah: > Pretty straightforward really. You combine Brazil's history of monetary stability, with Russia's respect for property rights, India's domestic tranquility, China's financial transparency, and South Africa's investment opportunities - and hey presto, you've got a new global money * https://twitter.com/davidfrum/status/1665053372402081792 https://twitter.com/davidfrum/status/1665053372402081792 How anyone lump China and India, not exactly the best of friends, together is beyond me.
- enterprise_cog 3y ago
  Why would anyone care what lying David Frum says about BRICS?