Quote:
Originally Posted by ipodi
In the first case, the nominal value of the money is irrelevant. In fact, it might actually help the company since the debt is now worth less than before in real terms.
|
I was actually going to say this but left it out at the last minute: did you consider that the debt might be in Dollars instead of Yen? What would a lowered value of the Yen do to that?
Also: the one doing the bailout in this series case is not someone who can print money at will but an "entrepreneur" in the F.D. that needs to spend future in order to print money and as stated on the episode it would now take all his future to do another printing. It it were the government sure they could just write a check, it would worsen the inflation but they could, however it's not.