What do you mean when the Fed goes bust?Andy Hunt wrote:So are we saying that China is going to bail out the Fed when it goes bust?
US Financial problems ramping up - bank run?
Moderator: Peak Moderation
No, just that if the dollar and pound continue to sink like stones then we cease to become the place where the world sends its surplus cash. Our banks no longer look like safe havens and goverments won't want our goverment bonds. We will have to start to work for a living! - We will have to actually make stuff again. A fallen pound and dollar would mean British and American made goods would become cheaper for those in the rest of the world, and we might even end up providing emerging economies with their goods.
Jim
For every complex problem, there is a simple answer, and it's wrong.
"Heaven and earth are ruthless, and treat the myriad creatures as straw dogs" (Lao Tzu V.i).
For every complex problem, there is a simple answer, and it's wrong.
"Heaven and earth are ruthless, and treat the myriad creatures as straw dogs" (Lao Tzu V.i).