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A comment on USDC's Circle Moves $8.7B to Repo Agreements to Protect Reserves from US Default. Parent comment

Re:USDC's Circle Moves $8.7B to Repo Agreements to Protect R... by mindslight on Thursday May 18, 2023 @11:32AM (#35989448)
> where the state's deficits are consuming all newly generated wealth PLUS the wealth generated by previous generations

Why focus solely on the state's deficits? To me, this is exactly the situation we currently have with housing - asset inflation for the past few decades has outstripped real growth, and now housing debt/rent is consuming an ever-growing amount of newly generated wealth.

(The debt/rent payments go to someone else, but the payments on sovereign debt do so as well)

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Re:USDC's Circle Moves $8.7B to Repo Agreements to Protect R... by netbioserror on Thursday May 18, 2023 @12:07PM (#35990035)
True, but a big part of this is suppressed interest rates, which are a downstream effect of suppressed bond rates. These two effects hold hands: State largess fuels private sector largess.
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