/biz/ - Business & Finance

>>53612912
The question is what they allow to go down before they do. The banks are upright because of the repo stuff but if they wait too long Main street is going to get torched.

>>53612912
but if they print then debt interest increases, then default is even more likely.
That would be even more catastrophic
oh noooooo.

>>53613448
bobo go away

>>53612912
its bearish if they print or no print

so just don't default? i mean when your debt exceeds your gdp that's basically a default in every way but nominally. like you only really default if you actually claim to have defaulted. so just don't do that. simple as

Overnight lending markets would freeze, because the collateral is treasuries which would be risky in a default. Most money markets would have to have withdrawals suspending. Companies would start going bankrupt, unable to meet short term cash obligations, this would spread as contagion as time goes on eventually bankrupting most companies and businesses. This means the stock market would lose most of its value and probably the NYSE and NASDAQ would close. The fed would have to either bailout banks or backstop deposit accounts, providing infinite QE to monetize most of the fractional reserve system. But you would still probably have deflation like the great depression because of wealth destruction.

>>53613746
that's not how it works retard, if you miss payments to bond holders that's a default wether you say it or not it doesn't matter

Either they print and I get rich,
Or the US defaults.

Yeah I'm thinking the US defaults.

I don't think you guys realize the amount of disdain they have for wagies.

>>53613761
Wait aren't USDC and tether both backed by us treasuries what would happen to my stablecoins in this scenario

The struggle about debt ceilings has happened every few years my whole life. It is literally a nothingburger.

how long till printer goes brrrrrrrrrrrrrrrrrrrrrrrrrrrrrrrrrrrrrrrrrrrrrrrrrrrrrrrrrrrrrrrrrrrrrrr

>>53613878
Yeah, it'll just go to 35 trillion, then 38, 40 trillion etc. Nothing ever happens

>>53612912
It would be quite the disaster for the billionaires. The commoners just don't have much to lose anymore. To prevent a Pax Americana collapse they have no choice but to keep printing and hope no disgruntled member of their own Patrician class decides to offer better terms to the Plebians.

the debt is just a social construct

>>53613646
Printing money now to pay off later is short term bullish. The problem they are facing and desperately trying to delay is a total collapse of the free government money system. If they just cut off the printer they risk fracturing the entire world economy. If they just keep printing until the money is worthless they have merely delayed the same pain and very likely made it far worse. We are talking about World War III tier if they wait too long (about 30 years, give or take 30 years and barring new technology advances that let the world's population grow to well over 1 x 10 to the 12th, instead of 8 billion we grow over 1 trillion.

I figure this crazy train will stay on the tracks until the mid 2040's, when the boomers are long dead and the new immigrant populations, both legal and illegal have had decades to establish real power over territory. That's when they can start making stronger demands for more gibs, not just the slave laborer pittance they get right now.

why don't they just make debt ceiling infinite?

>>53614121
They want breaks on the train. If they print to quickly they get Weimar Germany. A ceiling forces them to bicker for a while, then make a slightly more sane increase in the money supply.

>>53614121
They are trying to remove the debt ceiling aka endless printing.

>>53613878
The aging populations in the developed countries of the world are the real limit. Those groups get massive entitlements and many of them vote. That means the money printer won't stop until they are no longer able to vote. One reason for mass immigration is to bring cheap workers into a country. The long term problem is eventually all the workers you brought in are well established and you are too old to do much of anything. At this point, they can make much higher demands from a government. Keep your eyes on the future two to four decades.

>>53614199
So, same shit but slower and a thousand times worse due to the “diversity”. Weimar Germany at least didn’t have packs of niggers roaming burnt-out ruins of their cities like the us has now in places like Detroit and Baltimore.
Though they did have kikes pioneering trans-bullshit and spreading profane shit like child prostitution.
Shit’s already real bad but at least the boomers still get their social security!

>>53614199
>>53614228
it's basically endless already, just unofficially.

>>53614287
Yup.

>>53614291
Cute, but no. They can not just declare a 1,000 times increase in the money supply without bitching for a long time and cutting deals. If they remove the ceiling they can write down any number in the computer and issue that currency straight into circulation. That means your savings becomes worth the price of a week of food when before you had enough to live off for the rest of your life. All in the time it takes push a few buttons on a keyboard. And get this. Without a limit in place, they can do 1,000 times again. Or 10,000 times. Or infinity. Get used to working and storing a few tradable hard assets. People who work are people who eat.

>>53612912
>t. delusional coping baggie

>>53613646
I DONT GIVE A FUCK SHUT THE FUCK UP GIVE ME THE MOST CRAZIEST FUCKING BULLRUN SO I CAN FINALLY GET OF THIS CAGE AND GET MY OWN LAND AND PROPERTY WHERE I CAN FARM AND RAISE LIVESTOCK

>>53612912
https://www.youtube.com/live/eRbOo0QLuLs

This was predicted in May 2020 by Peter Schiff

>>53612912
How can they default? Just print money and pay it off.

>>53613848
They would probably have to suspend redemption and would lose peg, until the bonds were paid.

>>53614389
>DESPITE ALL MY RAGE

>>53613793
who's gonna collect though?

>>53614389
funny how much you need a lot of money to start a farm nowadays

>>53613820
Neither of those things are going to happen. It'll be a "virtual print" and a "virtual default" - they won't add money to the system outright and they won't miss debt payments technically. Nobody will get rich but the insiders.

>>53613761
Based

>>53613448
>but if they print then debt interest increases,
it's the opposite, retard
when the price of bonds rise the interest rates go down
is this your first month here?

>>53613848
cheap stable coin loans. get them while they are at peg

>>53614028
Historically based. This anon knows.

>>53615749
You won’t be able to take advantage of the depeg because they will just freeze the chain. If the chain is frozen how will you repay discounted loans?