recovering economist
1. There is very little risk in writing publicly. It’s mostly upside. And it uses leverage.
2. “We’d be all right if the wind was in our sails.”
3. “The leaves of fall are nature’s glitter.” -HT
4. We Can’t balance our own budget. But sure. Let’s back up other governments’ debt too.
5. I honestly do not understand people that don’t want kids. No offense, if that’s you. It’s just so far out of my wheelhouse that it eludes me. This: 👇
Brady Bonds sound like another government racket if I have ever heard of one.
Par for the course, I know.
But I like where Elon’s mind first went with it.
So few are able to immediately think like this…
It’s the difference between a true entrepreneur and everyone else.
Honestly, most of us are just scared.
While pursuing this project, Musk stumbled upon what seemed like an obvious business opportunity. The United States had tried to help reduce the debt burden of a number of developing countries through so-called Brady bonds, in which the U.S. government basically backstopped the debt of countries like Brazil and Argentina. Musk noticed an arbitrage play. “I calculated the backstop value, and it was something like fifty cents on the dollar, while the actual debt was trading at twenty-five cents,” Musk said. “This was like the biggest opportunity ever, and nobody seemed to realize it.”
-Ashley Vance, Elon Musk: Tesla, SpaceX, and the Quest for a Fantastic Future (Amazon)