Deep In the Red

So just on that thing about future generations paying for their forefathers loans.

I mean, it's not entirely right because the money doesn't disappear.

Just as people talk about the magic money tree, there's not a magic money pit either.

So when the government issues bonds, people buy those bonds.

So those bonds exist.

People are paid for those bonds.

They still hold those bonds.

So future generations, if you die and you hold bonds, the future generations will get your bonds.

What actually will happen, though, is that the people who are wealthy and invested in bonds will be having the money.

And if the government spends less, then the people who normally are recipients of government spending won't get as much.

So there will be a...

Those are our children and our grandchildren.

And, of course, you've also got to build up...

The amount of debt increases, that's the

point.

Yeah, but the debt hasn't gone away.

There'll be people who own that debt who will do quite well because they're holding the bonds and they're getting the commissions on it.

But if the government spends less, then everyone suffers because of that.

So there we are.

There's this week's episode sorted out.

We'll see you again next week.

That's all sorted out now.

What do we need to do next? No, the point in all this is what's interesting, and, you know, I mean, I barely understand anything about Bond.

Even

though you worked for Bloomberg for how many years?