Three strikes and you’re out


Standard and Poor's downgrade of the credit rating of the US government reflects its confusion about the distinction between credit risk and currency risk. Greece has defaulted because its central bank is impotent and cannot buy the debt of the Greek government.

The US Treasury will never default because the Federal Reserve is the buyer of last resort, and would purchase US Treasury debt if private investors go on strike and decide not to buy newly issued debt with the money that they would

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