Quote:
Originally Posted by Mutt
As long as there are takers for US debt there's no problem, not sure what happens when the day arrives when there isn't. They don't call economics 'the dismal science' for nothing.
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the problem is it devalues the dollar abroad...this in turn makes buying US profitable businesses, the back bone of the US economy, cheaper for foreign buyers...the profit goes abroad...more and more...there is less and less pie for americans...
its pure pissing in the well
do you know what happens with the billions upon billions of petro dollars? the arabs have built left and right domestically and now they seek foreign investment opportunities, you can not dump billions of US$ in europe and asia so EASILY any more so it all goes back in the US...your economy, or should I say, your own share in your own economy, is becoming smaller and cheaper at the same time...
sure its good for export of US goods they become cheaper, but this is good in a great global economy not a weak one...this is good when most of your production is not outside the USA...