yego.me
yego.me
💡 Stop wasting time. Read Youtube instead of watch. Download Chrome Extension

What is Beautiful Deleveraging?

less than 1m read
·Nov 8, 2024

A number of people asked me, "What is a beautiful deleveraging?" Well, first let me start with what is the deleveraging. Sometimes there's too much debt burden, which also means that somebody's holding too many debt assets and they're not going to get paid.

So, what is necessary is to bring those things down in relation to incomes, and so that's a deleveraging. What is a beautifully leveraging? A beautiful deleveraging is when that happens in a spread-out way over a period of time and in a balanced way.

Now, spread out, let me give you an example. If you can't pay all your debts, maybe you can pay 70 or 80 percent of those debts, and you spread that over a period of time. For those who are not getting those debt payments, then that shifts their burden over a period of time.

There are two ways of bringing down those debts: paying less or having the Central Bank print money, which produces some inflation pressures. When they do that, if they print a little bit of money and then you have the restructuring, they can balance each other and make it a smoother and less disruptive. That is a beautiful deleveraging.

How I Bought My NEW Las Vegas Home For $0
Cruise Ship Propulsion | Making the Disney Wish | Mini Episode 2

More Articles

View All
AK-47 Underwater at 27,450 frames per second (Part 2) - Smarter Every Day 97
Hey, it’s me, Destin. Welcome back to Smarter Every Day! So, I’ve been learning a lot about guns underwater, which is pretty cool. I mean, in the first video, I learned all about what’s happening back here in the action. But the problem is, because of lim…
Estimating division that results in non whole numbers
So let’s think about something a little bit. What do you think 17 divided by 2 is going to be? Well, you might immediately realize that it’s not obvious what you need to multiply 2 by in order to get to 17. There’s no whole number that I could put here th…
Why Are So Many Starfish Dying? | National Geographic
From Mexico all the way to Alaska, there has been a massive die-off of sea stars. The estimates are in the tens to hundreds of millions of sea stars that have died in the last couple of years. It’s one of the largest mortality events associated with a dis…
Conditions for valid confidence intervals | Confidence intervals | AP Statistics | Khan Academy
What we’re going to do in this video is dig a little bit deeper into confidence intervals. In other videos, we compute them; we even interpret them. But here we’re going to make sure that we are making the right assumptions so that we can have confidence …
Overstimulation is Ruining Your Life
The year is 1665, and Isaac Newton is looking out his window at an apple tree standing tall in his orchard in Lincolnshire, England. All of a sudden, a ripe and lonely apple falls from the tree and makes its way to the ground. While most people would cons…
Direction of reversible reactions | Equilibrium | AP Chemistry | Khan Academy
As an example of a reversible reaction, let’s look at the hypothetical reaction where diatomic gas X₂ turns into its individual atoms, X. It would turn into two of them, so X₂ goes to 2X. The forward reaction is X₂ turning into 2X, and the reverse reactio…