/biz/ - Business & Finance

>>19968506
>I was watching some vids from this guy George Gammon who really seems to know a lot and he seems to think a more likely scenario is them losing control of the bond market rather than currencies, you have any thoughts on that?
I don’t know how that would happen or what that would mean. Maybe I should check him out?

Everyone’s got predictions on how this ends terribly because it’s never been done before. But a country thats debt is denominated in the currency it issues can have pretty good control over its debt and inflation.

>>19968505
>Mmmm, but these guys need inflation to get out of control due to their liabilities as well. The debts need to be serviced and everyone is choking on over competitive dollars (too much credit expansion).
Maybe they do need inflation, but do they really need it to get out of control to the point where the rape hikes become absolutely necessary? Once these companies are able to return to profitability, couldn't they refinance, as the market (and banks?) would be much more willing to loan money to companies after they are profitable and even growing again?
Some may not be able to, and that is when the creative destruction of defaults could occur, erasing the “moral hazard” that some have been complaining about?