The problem is you then lose any leverage. The threat is what’s important. If you dump them then there’s no reason Trump would stop. If they hold them then they can use them as a threat.
However, if they were dumped, the EU would suffer financially, but Trump would not be able to simply continue, as the US economy would crumble.
The EU is the biggest lender to the US. The only reason the US is able to continue is due to all the borrowing.
The US has the largest external debt in the world, and the EU alone funded more than half of it.
The US couldn’t continue without the money from the EU.
This is one thing that Americans seem to be unable to grasp and think that the USA is/was funding the EU somehow, when on reality the USA just keeps borrowing more and more.
No, it wouldn’t stop the US. Russia’s economy is crumbling, but they can manage to keep fighting for several years now. A collapsing economy doesn’t stop wars. It only makes them harder. The threat can stop one potentially though.
Dude, Russia has been a capitalist nation for decades. It’s the exact same kind of economy. Arguably they have a different form of governance, with Putin as a dictator. I don’t think we’re that far apart with that right now though.
The bank will side with whoever makes them the most money. Cutting off the US means a default on loans. They won’t do it, they will lobby their governments to not do it, and will only do it if their home country forces them to do so.
I will side with the lesser evil. But so far it’s just empty words, they need to dump all of those bonds.
The problem is you then lose any leverage. The threat is what’s important. If you dump them then there’s no reason Trump would stop. If they hold them then they can use them as a threat.
Yeah, it’s a kind of mutual destruction tool.
However, if they were dumped, the EU would suffer financially, but Trump would not be able to simply continue, as the US economy would crumble.
The EU is the biggest lender to the US. The only reason the US is able to continue is due to all the borrowing.
The US has the largest external debt in the world, and the EU alone funded more than half of it.
The US couldn’t continue without the money from the EU.
This is one thing that Americans seem to be unable to grasp and think that the USA is/was funding the EU somehow, when on reality the USA just keeps borrowing more and more.
No, it wouldn’t stop the US. Russia’s economy is crumbling, but they can manage to keep fighting for several years now. A collapsing economy doesn’t stop wars. It only makes them harder. The threat can stop one potentially though.
The only reason Russia is able to continue is because they have a completely different economy to the USA.
Once capitalism crumbles, the USA will fall.
Dude, Russia has been a capitalist nation for decades. It’s the exact same kind of economy. Arguably they have a different form of governance, with Putin as a dictator. I don’t think we’re that far apart with that right now though.
Very noble of you.
The bank will side with whoever makes them the most money. Cutting off the US means a default on loans. They won’t do it, they will lobby their governments to not do it, and will only do it if their home country forces them to do so.
Yeah these people will do only what is financially expedient, they are amoral by definition.