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That is because a 30-year mortgage can be repaid at any time.
Borrowers benefit from inflation because their loans can be repaid with cheaper dollars.
It can be repaid earlier, but only if the mortgage is paid off at the time.
"They know the money that enables them to get elected can be repaid," he says.
In the absence of audited financials we need to satisfy ourselves that we can be repaid".
Higher inflation also makes debts easier to bear, because they can be repaid with money that is worth less.
Similar(16)
The debt of museums to art and artists down through time cannot be overestimated, can never be repaid; it is an obligation that can only be respected, abided by and learned from.
Some or all of that debt can then be repaid by selling assets, such as property, that can be leased back for store use if necessary.Will the boomlet last?
Can they be repaid by being eased into retirement?
"We cannot with moral conscious borrow trillions of dollars that can only be repaid by our children," he said.
Greek debt will remain at its current level, even though almost nobody thinks it can possibly be repaid.
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Justyna Jupowicz-Kozak
CEO of Professional Science Editing for Scientists @ prosciediting.com