"Defaults by Chinese borrowers have surged to a record high since the outbreak of the coronavirus pandemic, highlighting the depth of the country’s economic downturn and the obstacles to a full recovery,” the Financial Times reports.
"Defaults by Chinese borrowers have surged to a record high since the outbreak of the coronavirus pandemic, highlighting the depth of the country’s economic downturn and the obstacles to a full recovery,” the Financial Times reports.
The “good” news is that our debt has a built in fuse breaker (and China knows it). Most of the country’s dept is owned by us because when you pay into Social Security, the excess funds are used to buy US debt (as its considered the most stable investment there is). So we can always repay any one foreign debt holder, no matter how large, if congress just passes a bill to starve a bunch of seniors and people on disability.