Yep, they always do…the media gets everybody all worked up and it makes for a good news cycle but in the end they just kick the can down the road once again.
China benefits the most when the US raises the debt limit because they gain more influence/control by funding that debt. Defaulting places economic strain more on China than on the US - meanwhile, inflation is being hidden by the reverse repo market because banks have more money than they know what to do with so the Fed is paying interest on money that they are temporarily "borrowing" back from the banks.
I did not say that China is the only or the biggest funder of our debt, I said that China benefits the most by gaining influence/control by funding the debt - something they have obviously exerted on our government - or do you disagree that China gains the most influence by funding the debt? China currently is second to Japan in foreign ownership of US debt - 1.1+ Trillion vs. 1.2+ trillion respectively. Which is using it to control elements of our government and which is using it as an investment because their economy has been stagnant for 3 decades?
Why does Biden have the nickname "China Joe"?
Ever hear of "China Mitch"?
Yep, they always do…the media gets everybody all worked up and it makes for a good news cycle but in the end they just kick the can down the road once again.
China benefits the most when the US raises the debt limit because they gain more influence/control by funding that debt. Defaulting places economic strain more on China than on the US - meanwhile, inflation is being hidden by the reverse repo market because banks have more money than they know what to do with so the Fed is paying interest on money that they are temporarily "borrowing" back from the banks.
China is not funding our debt. The federal reserve is. They own some 20 trillion of it, I think Japan actually owns more of our debt than China.
I did not say that China is the only or the biggest funder of our debt, I said that China benefits the most by gaining influence/control by funding the debt - something they have obviously exerted on our government - or do you disagree that China gains the most influence by funding the debt? China currently is second to Japan in foreign ownership of US debt - 1.1+ Trillion vs. 1.2+ trillion respectively. Which is using it to control elements of our government and which is using it as an investment because their economy has been stagnant for 3 decades?
Why does Biden have the nickname "China Joe"? Ever hear of "China Mitch"?
Fair enough