₦airaland Forum

huptin:
Add all these together is it up to $22tn? These are trade credits, mostly short term. The majority of the debt who borrows the United states? How can China borrow US dollars when China's currency is Yuan for instance?

Why can't US just print dollars to pay these creditors off? You think the US cannot do that? Infact do you think they dont?

huptin:
Can i ask a question? This $30tn you mentioned as debt, who did America borrow it from? Remember that the US owns the dollar? How can a country borrow its own currency from elsewhere?

The concept of America's debt is very different, do not take it at the surface level.

Japan is the largest foreign creditor of the US. Since March 2020, its holdings have ticked up by less than $5 billion, to $1.28 trillion at the end of June, zigzagging up and down without going anywhere.

China is the second-largest foreign creditor of the US. In June, its holdings fell by $16 billion from the prior month to $1.06 trillion bouncing into the multi-year low of $1.05 trillion achieved during peak capital flight in December 2016. Since March 2020, China’s holdings fell by $21 billion:

The 10 biggest foreign holders after Japan & China are mostly tax havens and financial centers, some of them tiny countries. The exceptions are Brazil and India. At some of them, US corporations have established corporate entities where some of their Treasury holdings are registered, such as Apple’s holdings in Ireland.

UK (“City of London” financial center): $453 billion
Ireland: $323 billion
Luxembourg: $302 billion
Switzerland: $270 billion
Brazil: $249 billion
Cayman Islands: $244 billion
Taiwan: $239 billion
Belgium: $228 billion
India: $220 billion
Hong Kong: $219 billion

https://wolfstreet.com/2021/08/17/who-bought-the-5-trillion-piled-on-top-of-the-monstrous-us-national-debt-in-15-months/

https://wolfstreet.com/2022/02/02/the-incredibly-spiking-us-national-debt-hits-a-monstrous-30-trillion/

MrBrownJay1:
it was an example...like he could be a cheat, a drunk, a wife beater, a liar, a molester, a criminal or whatever, and since women are so desperate for marriage, they wont shiiit on their future marriage by outing a "possible" abusive man.

Blunttruth:
Bigger mtcheew. Complete drama queen. Don't mind him. He is still on nairaland. He loves attention so much, he has opened another account to see people's reactions.

Mooh247:
I'll be very honest with you..

Nigerians can't handle such change in governance and policy right now...

Everyone enjoys the subsidies and corrupt society one way or the other without knowing

I doubt the two of them can last a year in Aso Rock before the elites assassinate them

...

budaatum:
Electrical Tomatoes

The emboldened is about the only bit of this that got my attention but I notice it caught no one else's.

"Price controls"! It means a product is kept at a price set by government, and in Nigeria, we know it's kept low and very likely beneath the cost at which it can be sold at a profit. Like petrol really. But we can at least claim a reason for petrol with our crude oil and our ineptitude at running refineries. Electric though!?

Imagine it were tomatoes. You invest in land and fertiliser and labour and grow them, and when you get them to the market, government sets the price. I'm absolutely certain if that price is higher than the cost at which you grow your tomatoes, you wouldn't mind much. You'd likely be delighted if it's high enough for you to make a tidy profit. And if you're fortunate and the price set is so high, you'd likely invest in more land and more fertilizer and more labour and grow even more tomatoes. But this is Naija, where the price set by government is more likely to be way below your costs so that after you sell your tomatoes, you would have lost money.

Now think, you lost money on your tomatoes. Are you going to plant tomatoes next season? If you're into the charity business or you're stupid, you just might. But if you're not and have rent and school fees for your kids to pay and you want to eat and pay the interest on a loan I very much doubt you'd be stupid enough to throw your money away growing unprofitable tomatoes!

Well, that's the case with electricity in Nigeria I'm afraid. You generate it, transport it along unreliable transmission wires, lose a large chunk of it to illegal use and theft and what you do get paid for does not cover the cost of producing it. Now tell, would you plant electricity next season? I very much doubt it unless you're into the charity business or you're stupid, of course, but somehow, I just can't imagine you'd be either.

So, what's the solution you might wonder. Increase the price of electricity of course. But come on people, increase the price of electricity so electricity planters can earn more money and plant more and sell more? Surely you must be cursing me by now, or haven't you noticed you'd have to pay more for my electric if you want it?

Ok, perhaps you're all nice civilised folks and don't want to curse me so let's try a different way of looking at this. Imagine Buhari removes the price control so I can sell my electricity at a market determined price like I currently sell my tomatoes no doubt at a profit high enough for me to want to plant more next year. Are you cursing me yet? I'm sure you would be if it was the subsidy on petrol I were talking about removing. Hell no! You'd likely stone me if you could get your hands on me!

Well, that's what this piece is saying where it says "The private sector is given little incentive to invest.” After all, I'm in the electric planting business for the money and the profit and not because I love you all as Adam Smith would say, so why give you light if you aren't paying me for the priviledge! And you wanna complain you're in darkness?!

When you pay me enough to cover my planting of tomatoes after paying for the land and the fertilizer and the labour and the interest on a loan and cover what I lose to theft and illegal harvesting, and still make a tidy profit to reinvest, I will plant 12000megawatts of tomatoes and I will sell 12000megawatts of tomatoes and even more megawatts of tomatoes than you can eat even because you would be incentivizing me to invest what you pay me in more land and more fertiliser and more labour to plant more tomatoes so I will have more tomatoes to sell you and make more money. But if you want cheap electric, keep your price controls and don't incentivize me but don't expect me to waste my time labouring in the sun just so you can have light because, like you, I ain't that stupid nor into the charity business!

Anyone cursing me yet, because I am telling you, we are too cheap!

Mooh247:
They don't Even know who Soludo is... When he dealt with Bank CEOs with recapitalisation of banks.. nothing stopped him. and this are the elite not ordinary Ipob miscreants

Soludo and El Rufai don't listen to anyone when working

Datikwerreboi:
Anambra people are terrorising themselves . Take this to the bank . They're the ones doing this nonsense to themselves

budaatum:
I read part of it despite being put off by the beginning. My opinion of such is expressed in this thread. Hopefully, you know how public sentiment led to genocide in Rwanda

Fact is, quite a lot of what Fulani are being blamed for is done by our very own people, as we found with the gunmen in the East. Fulani may be kidnapping in Kaduna, but dem never yet born the Fulani to come kidnap anyone in the South. Local kidnappers wouldn't put up with the competition for starts, and we know where their cattle is if they dare.

Datikwerreboi:
Ihiala people are the ones getting killed. Why do you think the election held last year were postponed at ihiala. Anambra people are dying like rats in that axis. I'm a security personnel in anambra and I know what I'm writing .

MrBrownJay1:
see the NL desperation, kai!!!! the desperation for marriage is so big that all the single women are praising this. awaiting their own, even when that guy could be an abusive drunk (i hope he aint). so long as you make beautiful pre marriage photos, thats it, you get the pass, abi?! no wonder you ladies cant find anyone to take these pictures with y'all.

ladies ladies ladies....your time would never come if you keep being that shallow!

BasedUsername:
I'm starting to see some disturbing similarities between political ideology and fundamentalist religion. The ability to convince people into holding evidently nonsensical beliefs is unbelievable.

BasedUsername:
A pipeline that would've increased oil supply and helped to drive prices down. A pipeline that would've helped to reduce oil dependency on Russia.

BasedUsername:
I was talking in terms of export. However, it would be very cool if we can pull of production and refining of our own oil

MMWandali:
Bro, you tried your best

God bless you

benalvino3:
it won't be a thing in the west for a long while too.

OBALOLA55:
A FATHER OF 3 MALE KIDS IS JEALOUS

BasedUsername:
I mean, if you're going to bring Nigeria into it, then expect real tears when the left starts to move away from oil towards 'green' energy.

Still on Nigeria, expect tears when left instigates and destabilizes one of the biggest economies in your continent, thus leading to the militarization of radical Islamist groups in your region and a decade-long fight against terrorism.... oh wait

benalvino3:
inflation is innveitable. how sharply it climbs is what the focus should be and what they are doing to contain it... Biden is not doing a good job and it may reach 9% in the next report coming next month. the 7.9% was before the russia invasion, biden is annoucing shortage of food.... make we they see

benalvino3:
If that's the case, Biden and his minions will be addressing the people and telling them how this inflation is as a result of the path the government from past to present has taken instead of blaming Putin for everything.
damage control will not work here. everyone expected inflation because of the pandemic but not like this.



what did Biden do about their energy sector when he took office? do you think the rising price of gas will further cause more inflation? all these are from the previous admin policies abi?

when you pay people not to work
lock down the country with no return in sight just because you can always blame it on russia...

thankfully, polls suggest americans blames the Dems on this one... they might see the propaganda but their pocket is more convincing.

inflation is innveitable. how sharply it climbs is what the focus should be and what they are doing to contain it... Biden is not doing a good job and it may reach 9% in the next report coming next month. the 7.9% was before the russia invasion, biden is annoucing shortage of food.... make we they see

BasedUsername:
Don't shutdown the economy more than necessary

Don't shutdown Keystone Pipeline

Ibime:
The dollar has not yet been devalued, infact it has gained strength relative to the major currencies. That may be to come. The inflation we are seeing now is from increase in money supply, Supply Chain problems due to pandemic and rising cost of energy

OBALOLA55:
OMO NAIRALAND GIRLS DON OLD FINISH O



THIS GUY JUST GO MARKET FINISH, NA LIMITED LIABILITY COMPANY HE SEE BUY


WELL I WISH YOU HAPPY MARRIED LIFE WITH YOUR IYA ARUGBO

BasedUsername:
Both sides are to blame in my opinion.

benalvino3:
also, this might educate you. it may help you with the confusion you have gathered from the propaganda you ingest.
Biden wants to distribute $400 a month to subsidize high gas prices... what do you think will happen? that's your home work

https://www.youtube.com/watch?v=2gycgEsHXIc

BasedUsername:
Turns out printing more money leads to inflation. Who'da thunk it?

benalvino3:
I have noticed budaatum always jump on any inflation talk saying he is reading about it... but garbage in = garbage out.
Ibime rightly warned about this one time but was silenced by the old man AKA wrinkled king.

obama from 2012:
inflation rate was at 1.7
down to 1.5 at 2013
down to 0.8 at 2014
down to 0.5 at 2015
up to 2.1 at 2016

trump from 2016: maintained it at 2.1
remain 2.1 at 2017
down to 1.9 at 2018
up to 2.3 at 2019
down to 1.4 at 2020

Then came Biden:
raised it up to 7% in 2021
up to 7.9 in 2022

Clearly, there is a zoo animal in the white house.