On Sat, 13 Jan 2018 07:02:02 -0500, "Mr. Luddite"
wrote:

Debt as it relates to global economics is a transparent, phony concept
period. There's no underlying standard or base to it. Debt is only
real to common people tied to the banking systems via mortgages, credit
cards or loans and the penalties for defaulting are governed only within
the rules of the banking systems.

Global (national) debt doesn't mean a thing. To be concerned with it
assumes you think a "note" is going to be called and it is going to be
repaid someday by someone. It isn't. It's factored into global trade
and international finance. To think it is like a bank loan that has a
maturity date tied to it isn't real. A maturity date doesn't exist.
If there aren't enough revenues to pay the phony interest, the
government just prints more money.

===

That's an interesting theory but there's plenty of historical evidence
to indicate that there are consequences to excessive sovereign debt. I
would hold up Brazil, Argentina, Greece and Italy as prime examples.
Their debts eventually became so overwhelming that no one would lend
to them on any terms, and their ability to conduct foreign trade was
severely impacted. As they printed more and more money, their rate of
inflation reached astronomical levels and currency became virtually
worthless. It's not a good place to be. Eventually foreign banks and
governments step into the situation and take charge on their terms. Do
we really want the Chinese or Saudis dictating our internal policies?

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