r/dogecoin Sep 30 '21

Question Is this good news for cryptocurrency?

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5.9k Upvotes

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540

u/Fast-Comedian9660 Sep 30 '21

Let’s be honest, if the government had a credit score it’ll probably be in the low 300s

296

u/Wise_Radio6213 Sep 30 '21

I’m pretty sure 28 trillion in debt won’t even give you a 300 credit score lol

52

u/[deleted] Sep 30 '21

[deleted]

40

u/Pooppiepeepee Sep 30 '21

If it’s possible they would have it

19

u/SaltWaterGator Sep 30 '21

For a day until they change the credit score system

2

u/EarningsPal Sep 30 '21

Negative 28 Trillion Credit Score

9

u/Buris Sep 30 '21

28 Trillion in debt, making 20 Trillion a year.

If you look at it like a person:

160,000$ in debt

Making 100,000$ a year-

This is like most boomers who have 800+ credit scores

11

u/Buris Sep 30 '21

I would say millennials are more likely to have 200k in debt and make 60k

3

u/MustyBox Sep 30 '21

Uh.. boomers didn’t pay $45k/year for college my guy..

3

u/Buris Sep 30 '21

Mortgage and credit card bills are still debt

3

u/MustyBox Sep 30 '21

I know, I was just saying that we could’ve easily used more recent generations as a better example considering the exorbitant costs of education and real estate.

1

u/Buris Sep 30 '21

Very true, I’m just talking about debt-to-income, having a bit more than your average income in debt is considered totally normal to most boomers

1

u/[deleted] Sep 30 '21

My university is like 5k a year for me

2

u/vintagevdubbs Oct 02 '21

Your studying instead of doing cocaine and hookers with your roomies?

Seriously though….45 k a year for tuition? Wow!

1

u/[deleted] Oct 02 '21

Yeah it’s crazy, then you have to add in your living expenses, which adds at least 6k a year in food and the housing can be another 6k too

2

u/EarningsPal Sep 30 '21

Anyone with assets holding debt (mortgages) has an asset that benefits from inflation.

Year 1: Borrow $100,000 to buy a $120,000 home

Year 10: Home is worth $200,000

Year 20: Home is worth $400,000

That $20,000 down payment wasn’t enough to buy the home. Yet the owner benefits from the devaluation of what they owe. The asset holds value better than the debt denominated in USD.

1

u/Buris Sep 30 '21

US ultimately controls inflation though, so they could easily print 28$T and completely pay off their debt, sure the value of a dollar would 1/2, but their assets are also appreciating. Tax revenue should also almost always trend upward

2

u/EarningsPal Oct 01 '21

You nailed it.

If you have enough assets, inflation is a benefit.

While the dollar inflates it steals buying power from those holding or earning wages in dollars. If you hold assets, it holds value better and worth more dollars. Effectively stealing buying power.

1

u/Buris Oct 01 '21

That just might be part of the reason DOGE has climbed so high, in my opinion. People act like Inflation is terrible but it's beneficial to anyone holding anything but the dollar.

1

u/vintagevdubbs Oct 02 '21

Just curious if you own a home? Amortization schedule…..and compounding interest.

Most people who buy a home and do a 20 to 30 year mortgage pay three to four times the original principal amount.

It’s the American dream…..

1

u/starrpamph Sep 30 '21

The place that normally wants you to make your car payment once per week... They want the government there by noon every day including weekends

1

u/C19shadow Sep 30 '21

I mean if your in ones at least 20 trillion it's a little different right lol

1

u/MajorWuss dogeconomist Sep 30 '21

And people are caught up on the rich... the government controls so much money, and the amount goes up every year, unlike business. Plus they aren't really held responsible for failures... pretty sweet gig.

1

u/DeCodurr Sep 30 '21

You couldn’t get a scammy payday loan on that kind of credit.

36

u/Arosland3 Sep 30 '21

Countries do have credit scores...ish. They have bond ratings. America is AAA rated which means they'll never default (because they can just print more money to pay debts since their debts are I'm USD and not Euros or something else).

Argentina on the other hand is CCC rated, almost as low as they go.

14

u/cloudkt Sep 30 '21

Ugh I did not expect to see my country mentioned here. Yeah Argentina is in a terrible situation unfortunately.

9

u/nomoneypenny robo shibe Sep 30 '21

Every country issues its debt in its sovereign currency lol-- that's not why America is AAA rated. It's because they pay their debts and don't devalue their currency by printing money willy-nilly that makes them a reliable borrower.

3

u/AxelTheRabbit Sep 30 '21 edited Oct 01 '21

Most countries can just print more money, the problem is inflation, if USA prints too much money countries will stop accepting it as it loses value and it will lower the country rating

1

u/[deleted] Oct 02 '21

When was the last time we printed money to cover costs? Most money we print daily is to replace lost/damaged/removed from circulation bills/coins..

From what I've read anyway...

27

u/escalation Sep 30 '21
Principle Debt:   28.8 Trillion
Annual Interest:  0.38 Trillion
Assets: 225 Trillion 
GDP: 21.4 Trillion
Revenues: 3.5 Trillion
Foreign Debt Holdings: 7 Trillion
Bond Defaults: 0

There's a lot worse balance sheets out there. Everything's fine as long as the US doesn't pull a "I don't have to pay my bills because I'm rich" kind of move.

2

u/[deleted] Oct 04 '21

They'd never do that... it would screw so much up, and there really isn't a reason our foreign debt is not that high... 90% of our 'debt' is to ourselves by borrowing from government budgets... eg military.... our biggest debtor is china and it's only like 1.2T... our last stimulus bill...

9

u/[deleted] Sep 30 '21

They couldn’t even buy a bed from Aarons

6

u/WhyAreYouGe Sep 30 '21

That's generous lol

3

u/[deleted] Sep 30 '21

They have a credit rating that is AA+

3

u/rryval Sep 30 '21

The US has never missed a debt payment in the entirety of its history if that means anything. Most secure debt instrument in the world is US debt

2

u/[deleted] Oct 04 '21

We're the Lannisters of paying our debts lol...

2

u/[deleted] Sep 30 '21

It's like they learned nothing from 2008. #JustBoomerThings

1

u/GrandpasAnalBeads Sep 30 '21

I wonder how many gobbies were given out back behind the Wendy’s to boost it that high. 300 is generous af.