How stupid do they think China is

  • JohnBrownsBussy2 [undecided, they/them]
    ·
    1 month ago

    It is funny that this supposedly "market-based" solutions boil down to an axiom that creditors should never be allowed to lose when making a bet or a loan, and that the state should always compensate creditors.

    • Tom742 [comrade/them]
      ·
      1 month ago

      That’s basically the IMF’s whole bid too, the west created a whole global institution to create loans that can never lose, their goal is debt trap.

      Which is ironic considering the capitalists rhetoric around loans and interest is that riskier loans have higher interest because of the chance of default. Then they go and ensure that no loan is risky if it’s enough money owed to the right people.

      • PKMKII [none/use name]
        ·
        1 month ago

        Michael Hudson has written about this, that the international loan system exists so that the imperial core can put the screws on the “developing” world whenever it makes political economy decisions that threaten international capital’s bottom line.

        • Tom742 [comrade/them]
          ·
          edit-2
          1 month ago

          Yup! I read Super-Imperialism and then shortly after read Debt: The First 5,000 years, and I think they compliment each other really well in being able to conceptualize how debt is wielded as a weapon.

          Debt actually opens up with the example of how “incredulous” of an idea it is that a country would default on their IMF loan and then shreds it apart.