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This kind of behavior could lead to excessive debt, hoarding, an economic crisis, and even more stress.
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The Fed's surveys of senior loan officers at banks suggest that businesses -- which responded to the crisis by reducing inventories and capital spending, paying down debts and hoarding cash -- have begun to inquire about new or increased credit lines, though small businesses say that credit is tighter than at any point since the early 1990s.
One widely cited explanation for the surge in corporate bond markets and tighter spreads is that investors began selling the Treasury debt they hoarded in the worst of the financial crisis and moved their money into riskier securities.
Money merchants want you to spend, hoard debt, and pay back on time but only a little.
That actually depends on how the aggregate cash hoard and debt burden is divided.People typically do not have both large debts and piles of cash, since it would make sense to use the latter to pay off the former.
The Chinese, who have amassed hoards of American debt, recently hinted that it might be time for a new reserve currency.
They note that Singapore Telecommunications has a cash hoard of $3 billion, no debt, and annual cash flow of more than $1.5 billion.
European banks are dumping government debt as fast as they can and hoarding cash.
After making the obligatory promise to use most of the surplus to protect Social Security and reduce the national debt, Mr. DeLay accused Mr. Clinton of hoarding the gold.
He ticks off operating guidelines like transparency, staying out of debt, giving away information and refusing to hoard.
If it stopped buying U.S. debt, the value of its $797 billion Treasury hoard would plummet along with the dollar.
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