Bloomberg’s Tom Keene is an economist disguised as a broadcaster. He understands sovereign debt, which he calls “full faith and credit,” a term that reminds us of the promise behind a nation’s debt.
A late night Monopoly lesson from my dad was a debt signal. He was ready to call it quits when he began to mortgage his property. He received a little cash but he received less rental income. It turned the tide my way, which made me happy. It hastened the end of the game, which made him happy.
In a September 30 article, financial analyst Ross Hendricks wrote a helpful article sub-titled, “The speculative excess in today’s market shares no precedent.” Debt matters, whether it’s an over-leveraged investor or a nation that can “print money” to pay for its prior expenditures.
As we go through an unnecessarily juvenile season of political posturing over our national government’s financial integrity, I refuse to think of it as a “good guys” vs “bad guys” polarization, but rather a group of “blind guys” trying to repair a transmission while refusing to help each other.