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by torginus
824 days ago
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That's a stupid metric, I don't know why they keep bringing it up. Japan is a good debtor and it's probably cheap for them to finance their debts so they could end up paying less for them than a bad debtor would for a debt worth 50% of their GDP. Money spent on the economy stimulates growth even if it comes from loans. I'm not an economist but probably I would probably define the ideal amount of debt a country should have is when the amount of economic growth coming from the extra money is equalled by the costs of financing said debt. |
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