Smell the coffee, going forward.
India, now Venezuela, why not anywhere else, anytime at all?
They are ostensibly unsecured government debt obligations, just like the greenback, but not really debt in any meaningful sense. Although the system is handled by, and benefits, private banks, the notes themselves are you know what.
The government, any government, can unilaterally decide to withdraw them at any time, and nothing can happen to the government.
Guess why? Sovereign immunity.
No comments:
Post a Comment