Originally Posted by
Walter Sobchak
We’re you always this smug and I hadn’t noticed?
I know how much Treasury debt China is holding. It isn’t a problem. If anything it is leverage. If you owe the bank $100 that’s your problem. If you owe the bank $100 billion, that’s the bank’s problem.
The US is currently issuing nearly a trillion in new Treasuries per year. If we really had to cash in all of China’s chips we could issue another trillion to others, which would be offset by the cancellation of the bonds were buying back from China. We owe American investors more than 10x what we owe China. Demand for Treasuries is very strong and always will be so long as we don’t default.
The debt aspect of our relationship with China is just not that big of a problem.
I know diplomacy is important. That’s like saying breathing and eating are important. Where were you for Trump’s whole term when I was talking about how we abandoned diplomacy? If you were on him about it and I missed it, my apologies.
Biden vs. Trump on any aspect of foreign relations is like Tyson v. Spinks.
I was prolly always this smug.
It’s just a hunch but I bet China thinks a trillion is a lot of paper. My post talked about the decrease in value from a quick China sale. Would they really want to take that hit? I’m considering the other player too.
Trump is gone. I’m sussing the imminent threat of conflict. Sucking at international relations or purposely seeking out the next conflict is not excused because Biden might be less objectionable than Trump.
Chinese sorties over Taiwan the other day have nothing to do with Trump. You gotta let it go man.
Ok, maybe I’m more smug.