Crazy question about money

J

john-e89

Lifer
IF the worlds leaders of as many countries as possible could somehow get together in a world conference, what would be the problem of just this once printing money to get the status quo back once there is a vaccine..? Forget logistics for now it’s the theory of it I’m asking about. I mean if this can’t bring the globe together to write the debt off then what will..? Also it speaks volumes about global warming too that if we can’t speak together over this we’re stuffed over warming. Obviously it’d be damn near impossible to through to crackpot dictators etc, but surely if enough, and it would have to be as many s possible obviously, would agree would it be feasible to pay ourselves out of this..?


Bit naive I know..... :roll:
 
Do you want them to print more money, or write off debts, or both?

Where does the writing off of debts end? Governments? Public companies? Banks?

If they right off too much debt, then they won’t be able to pay for future commitments to the NHS, social care, pensions, etc. as they’ll have less money coming in.

Some countries will benefit much more than others, which could cause a shift of power in world markets.
 
mmm-five said:
Do you want them to print more money, or write off debts, or both?

Where does the writing off of debts end? Governments? Public companies? Banks?

If they right off too much debt, then they won’t be able to pay for future commitments to the NHS, social care, pensions, etc. as they’ll have less money coming in.

Some countries will benefit much more than others, which could cause a shift of power in world markets.
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As I said my thinking was writing debts off to pre-virus levels, basically returning world economies to how they were in December.
 
The debt burden on each country is different so don't think that would work. And if they print more money that will devalue each currency which has its own problems. Nice thought though.
 
They seemed able to print enough money to prop up the banks so can’t see why they can’t do the same again to get the country back on its feet.
Rob
 
zedwheels said:
The debt burden on each country is different so don't think that would work. And if they print more money that will devalue each currency which has its own problems. Nice thought though.
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But the difference in debt amount doesn’t matter surely, just as long as it’s written off..?
 
Smartbear said:
They seemed able to print enough money to prop up the banks so can’t see why they can’t do the same again to get the country back on its feet.
Rob
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My thinking Rob, just pay off the debt this virus is incurring only and away we go as before. I can’t see why just paying that off would de-value the pound as long as it’s not taken any further than the virus debt only. :scratchhead:
 
I think it's a bad idea. The problem with writing off debt is 2 fold.
1. When you erase debt you are erasing somebody's income and unless all of that somebody's debts are also erased they will suffer from the loss. And that is unfair.
2. Erasing debt teaches irresponsibility thus encouraging more debt because hey - if it gets too bad somebody will say we don't have to pay for the home or education

You can suspend payments for all contracts but you cannot forgive them without financial havoc.
 
scootr said:
I think it's a bad idea. The problem with writing off debt is 2 fold.
1. When you erase debt you are erasing somebody's income and unless all of that somebody's debts are also erased they will suffer from the loss. And that is unfair.
2. Erasing debt teaches irresponsibility thus encouraging more debt because hey - if it gets too bad somebody will say we don't have to pay for the home or education

You can suspend payments for all contracts but you cannot forgive them without financial havoc.
Click to expand...

But the money the government is borrowing to pay for the medical equipment, furloughs, self employed, keeping business going etc, etc, basically all the costs associated with the virus alone, is paid off or written off and just that expense alone, where is the harm?
 
Smartbear said:
They seemed able to print enough money to prop up the banks so can’t see why they can’t do the same again to get the country back on its feet.
Click to expand...
You still on about feet?
 
BeeEmm said:
Smartbear said:
They seemed able to print enough money to prop up the banks so can’t see why they can’t do the same again to get the country back on its feet.
Click to expand...
You still on about feet?
Click to expand...

Very quick, You’re obviously on your toes :P
Rob
 
Ironically China holds the majority of our debt. People talk about just taking the economical cost of the pandemic off our bill.
 
scootr said:
Ironically China holds the majority of our debt. People talk about just taking the economical cost of the pandemic off our bill.
Click to expand...

That's not correct. See: https://www.thebalance.com/who-owns-the-u-s-national-debt-3306124

As of December 2019, the US national Debt was $23.1 Trillion of which 74% of US debt is held by the US public, and of the remaining 26%, Japan is the largest holder with $1.15 Trillion and China with $1.07 Trillion. The UK holds $336.2 Billion.
 
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