Interest is evil anyway

More strategies for cratering capital markets:  Venezuela thinks it's a good idea to default on $74 million in interest payments on bond debt because someone else ran up that bill anyway, so it's only fair.  Of course, the debt was run up by the former owners of the steel business that Venezuela nationalized a few years ago, but the economic geniuses in charge of that country don't see the connection or the probable impact on their future access to the capital markets, which figures heavily in their national economic plans.  No problem:  they'll just explain that they really need the money, and the world's financiers will no doubt forgive all.

1 comment:

Ymar Sakar said...

It's not like those Republicans needed their car dealership businesses or their client lists.

I'm sure the Democrats that own it now are making bank, along with various authors I know.