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/biz/ - Business & Finance

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File: 751 KB, 1123x655, us-total-debt-ceiling-deficit.png [View same] [iqdb] [saucenao] [google]
9186984 No.9186984 [Reply] [Original]

What happens when a country is so much in debt it can never pay back the debt it had accumulated, and on top of that, it keeps borrowing more and more?

Only North Korea and the Soviet Union come to mind as examples, where this led to economic collapse.

Is such a massive debt crisis likely in the US?

The US military adventurism seems to be leading to its collapse, as the economy is way too weak in real terms to keep up such a big empire. The US hardly manufactures anything at all, and in any total war scenario it will immediately lose to China, as China has a far greater industrial capacity.

>> No.9187571

>>9186984
Literally nothing. Army backed economy. Military>paper and numbers
See:Rome, Ottomans, 15th and 16th century France

>> No.9187688

>>9187571
None of them were so much in debt like the US.
The only countries which relied on the same debt model (the Soviet Union, North Korea) had their economies collapse.

>> No.9187749

>>9186984
>What happens
Nothing... Unemployment doesn't raise by an order of magnitude and net wealth doesn't plummet.

>Only North Korea and the Soviet Union come to mind as example
How do I default IMF payment á la Greece style in 2015?

>> No.9187773

>>9186984
the citizens of this world are probably going to freak out and murder all world leaders within the next....twenty years? crypto's big, guys

>> No.9187797

>>9186984
as % of GDP USA isn't even that bad


Entire western world is debt ridden shithole

>> No.9187850
File: 18 KB, 1182x135, egregore.png [View same] [iqdb] [saucenao] [google]
9187850

>>9187773
https://en.wikipedia.org/wiki/Egregore

>> No.9187865

>>9187850
this is what Blockchain is, this is why they're afraid

a small % of the world can't beat that

>> No.9187897

>>9186984
Don't worry there is already a plan for this.

https://www.youtube.com/watch?v=TRgRz3nSG7o

>> No.9187947

>>9186984
>US defaults on debt
>market crashes
>US treasury no longer safe haven
>Panic, people lose their saving etc
>All the money money china put into treasuries now worthless
>China fucked
>10 years later everything is fine, and the economy is booming
In the long term it means jack shit, countries default on debt all the time.

>> No.9188049

>>9186984
It would be nice if US would collapse in lesser states the way SU did but the fact remains that Soviet Union was already internally divided along todays borders so its dissolution was fast and orderly.

>Pacific States of America
>Midwestern Union
>Texas
>Great Lakes Confederacy
>Confederate States of America
>rump federal state

A man can dream...

>> No.9188055

>>9186984
>Only North Korea and the Soviet Union come to mind as examples, where this led to economic collapse.

Japan.

>> No.9188123

>us debt
lel, I'd be more concerned about china.

until the dollar dies US is in a safe space

>> No.9188137

>>9186984
Same as if your business goes insolvent.

Eventually the country will be liquidated. All assets sold to pay off the debt to foreign debt holders.

>> No.9188150

>>9187571
>See:Rome, Ottomans, 15th and 16th century France
then see how they ended

>> No.9188154

>>9186984
According to W. Buffet, the debt level doesn't matter aslong as GDP grows along. I don't agree, just giving some food for thought.

>> No.9188156

>>9188137
LOL no

>> No.9188159

>>9186984
how do i short this shitcoin?

>> No.9188162

>>9188137
Yes thats totally what happened in Greece

>> No.9188200

>>9188150
K, cya in 1700 years

>> No.9188203

i lived in south America for 5 years and you guys have no idea how China is taking over

>> No.9188211

>>9188203
mayor Antonio V in los angeles just green light BYD china crap........they were all over Peruvian streets 5 years ago. China is now entering burgerland like never before.
Look at Foxconn now wasting our water

>> No.9188214

>>9188203
they dont have a choice if they stop building and giving out loans their economy would crash, no joke

>> No.9188217

>>9188203
People don't look at the sunrise anymore.

>> No.9188339

>>9186984
war to export inflation.simple

>> No.9188426

>>9188339
yup US is itching to unload that debt if they win the war or ask for debt amnesty if they lose

>> No.9188488

>>9187865
Please stop talking about this so openly. We're still pretty weak, and we need them to welcome us with open arms. The monetary aspect of DLT is just to make sure we get some of that international banker money

>> No.9188917
File: 42 KB, 604x401, 1522278713339(2).jpg [View same] [iqdb] [saucenao] [google]
9188917

>>9188154
GDP is growing slower than debt in the US. Pic related.

>> No.9189031

>>9188123
> dollar dies
kek it's already dead

>> No.9189076

>>9188123
China might be the star of the next recession.
Shadow banking combined with housing boom/ghost cities has been bubbling for a long time, has to pop eventually

>> No.9189112

Americans wont even let Trump fix anything. Sad!

>> No.9189150

>>9188488

I can sense your sarcastic tone

>> No.9189169

>>9189076
Not likely. A recession is likely to come from the US as it always has.

>> No.9189205

the only question that matters...
what happens to crypto during a recession?

>> No.9189287

>>9186984
>muh debt
public debt = private savings