#debtors — Public Fediverse posts

“#Obama created the biggest #bondmarket boom in US history, because when interest rates fall, bonds, mortgages, and other credit claims that carry a high interest rate go way up in price. Essentially, the #USeconomy was turned into a #Ponzischeme. The Federal Reserve’s position was: we know there are defaults, so we are going to lend debtors the money to pay, so that they do not default. If they do not default, the banks will not have to write down loans that were made beyond the ability of home buyers, credit card #debtors, and others to pay.”

https://www.nakedcapitalism.com/2026/06/michael-hudson-debts-that-cannot-be-paid-wont-be.html