The hottest Debt Substack posts right now

And their main takeaways
Top U.S. Politics Topics
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PETITION β€’ 1002 implied HN points β€’ 15 Jan 24
  1. The article discusses recent bankruptcy cases involving companies like Wesco Aircraft Holdings Inc. and Instant Brands Acquisition Holdings Inc.
  2. The bankruptcy cases highlighted the complex interactions between lenders and debtors, showcasing the challenges and strategies involved in negotiations.
  3. Key themes in the cases include asset stripping, liability management, regulatory approval challenges, and the role of different parties in bankruptcy proceedings.
Bitcoin Magazine Pro β€’ 432 implied HN points β€’ 09 Feb 24
  1. Genesis won a court ruling to sell millions of GBTC shares, aiming to reimburse creditors and stabilize Bitcoin's price.
  2. A large sale of GBTC triggered a market decline for both GBTC and Bitcoin in the past, causing concerns within the Bitcoin community.
  3. Despite legal disputes and setbacks, Genesis is moving forward with plans to sell GBTC to settle debts, potentially impacting Bitcoin's valuation.
Geopolitical Economy Report β€’ 558 implied HN points β€’ 13 Jan 24
  1. Debt has surged globally due to neoliberal economics, leading to countless crises.
  2. The Federal Reserve's actions focus on bailing out the financial sector, even when it doesn't benefit the economy at large.
  3. The US economy is heavily dominated by finance, insurance, real estate, military, pharma, and tech sectors, all characterized by high levels of monopoly and rent-seeking behaviors.
Dan Davies - "Back of Mind" β€’ 294 implied HN points β€’ 09 Feb 24
  1. Bankruptcy rules differ for individuals and corporations, with implications for creditors and stakeholders.
  2. Bankruptcy can have significant economic consequences, especially for employees, suppliers, and other parties dependent on the company's operations.
  3. Some companies without operations can exploit bankruptcy laws to avoid liabilities, highlighting issues with the limited liability system.
Sinocism β€’ 923 implied HN points β€’ 24 Oct 23
  1. PRC ships rammed Philippine vessels in South China Sea, escalation of crisis at Second Thomas Shoal
  2. Wang Yi visiting US, part of effort to have Xi Jinping attend APEC in San Francisco and meet with Biden
  3. Intensifying spy war between US and China, with recent revelations of alleged US spies and Five Eyes discussing threats from China
Geopolitical Economy Report β€’ 318 implied HN points β€’ 19 Dec 23
  1. Neoliberalism continues to evolve and adapt, with different variations over the decades.
  2. Debt has played a significant role in the rise of neoliberalism, with exponential growth especially in the neoliberal era.
  3. The current global dynamics reflect a new Cold War, where neoliberalism faces off against alternative economic models represented by countries like China and Russia.
Erdmann Housing Tracker β€’ 84 implied HN points β€’ 09 Mar 24
  1. The debt-to-income (DTI) ratio for households has generally declined since 2007, focusing more on new mortgage borrowers than all families.
  2. Debt payments have increased for older families since lending standards tightened in 2008, delaying when families take on mortgage debt.
  3. Higher rent inflation due to a lack of construction has pushed up mortgage costs in the early years, contributing to high DTIs.
The Dollar Endgame β€’ 938 implied HN points β€’ 08 Jul 23
  1. The U.S. national debt is skyrocketing due to increased government spending, tax cuts, and economic events like the COVID-19 pandemic, leading to a staggering $32.47 trillion in debt and a rapid increase of over $1 trillion in just 34 days.
  2. As the U.S. debt continues to grow, the country is possibly entering a debt spiral where borrowing becomes necessary to fulfill existing financial obligations, potentially leading to an annual interest payment of $1.6 trillion at a 5% rate and putting the nation at risk of financial instability.
  3. Rising interest rates and debt levels could push the U.S. Treasury towards insolvency, with potential consequences including inflation and the need for severe fiscal austerity measures to mitigate the crisis, a situation further complicated by complex economic feedback loops.
Maximum Progress β€’ 412 implied HN points β€’ 01 Nov 23
  1. Government intervention is effective in correcting externalities because it has a stake in the outcome.
  2. Governments struggle to address long-term externalities because they focus on short-term goals and lack incentives for future outcomes.
  3. Markets can incentivize individuals to consider future consequences, making them potentially more effective than governments in addressing temporal externalities.
The Dollar Endgame β€’ 399 implied HN points β€’ 17 Oct 23
  1. Bonds are facing significant challenges with the Federal Reserve's interest rate hikes and inflation, causing a major downturn in the bond market.
  2. Bonds are crucial in the financial system and act as a form of money, affecting various sectors like banking and exposing risks in durations and interest rate movements.
  3. The bond market's current struggles are indicative of larger economic issues, with potential consequences for inflation, debt, and decisions by the Federal Reserve.
cryptoeconomy β€’ 707 implied HN points β€’ 08 Jul 23
  1. There are 3 ways to escape the fiscal crisis: reduce spending, raise taxes heavily, or resort to printing more money.
  2. The increasing debt and interest payments are approaching unsustainable levels, potentially leading to historic inflation rates.
  3. Regardless of the chosen path, the final destination seems to be inflation as the most likely outcome of the fiscal crisis.
The Dollar Endgame β€’ 199 implied HN points β€’ 16 Dec 23
  1. China's real estate market is facing significant challenges, with existing home prices dropping and outstanding property loans declining.
  2. Major developers like Evergrande and Country Garden are struggling with debt obligations and bankruptcy proceedings.
  3. Moody's downgrade of China's credit outlook indicates that the turmoil in the real estate sector is starting to impact the broader economy and banks.
ANDREA CECCHI Newsletter β€’ 157 implied HN points β€’ 05 Jan 24
  1. Markets react impulsively to news, creating a sudden impact with amplified effects.
  2. The current economic system relies on debt-based currencies, leading to a continuous cycle of increasing debt and the need for new debts to pay off old ones.
  3. Observing unstable curves in economic indicators may indicate a system approaching a critical phase.
The Dollar Endgame β€’ 758 implied HN points β€’ 30 May 23
  1. The debt ceiling is a legal cap on how much money the US government can borrow to pay for its expenses. It's a self-imposed limit to control borrowing.
  2. A US debt default would have severe global consequences like loss of confidence in US financial stability, spike in interest rates, and turmoil in financial markets.
  3. The recent debt limit deal promises two years of complete debt limit suspension until 2025, new spending caps, and potential removal of budgetary limits on government spending post-2025.
Global Markets Investor β€’ 39 implied HN points β€’ 07 Mar 24
  1. The US national debt has reached a record $34.5 trillion, increasing by $1 trillion every 100 days since June. This high level of debt poses challenges for the government and future generations.
  2. The US debt-to-GDP ratio is currently at 123.7%, near the all-time high. A high ratio decreases a country's ability to pay back debts and could lead to default or inflation-adjusted losses for investors.
  3. A country with a debt-to-GDP ratio above 130% historically has a high probability of default. High debt levels can limit future investments, impact economic growth, and reduce flexibility in responding to crises.
CalculatedRisk Newsletter β€’ 38 implied HN points β€’ 07 Mar 24
  1. During the housing bubble, many homeowners used their perceived home equity as a 'Home ATM,' contributing to the subsequent housing bust when prices declined.
  2. Refinancing activity declined in early 2022 as mortgage rates rose, leading to a shift where homeowners started using home equity loans to access their equity.
  3. Despite a decline in demand for HELOCs and a decrease in refinancing activity, Mortgage Equity Withdrawal (MEW) remained low throughout Q4 2023, indicating balanced equity borrowing and principal payments.
The Dollar Endgame β€’ 159 implied HN points β€’ 22 Nov 23
  1. Understanding how the financial system operates in layers is crucial for designing an efficient monetary system.
  2. The modern financial system operates with different layers, each offering scaling solutions and varying levels of security, transparency, and operability.
  3. The layers of the financial system include the base layer with systems like FedWire, a layer for deposits, and a top layer for debt, all serving different needs of users in the economy.
ANDREA CECCHI Newsletter β€’ 216 implied HN points β€’ 12 Oct 23
  1. Debt levels in America are rapidly increasing, with the first trillion taking 185 years and next trillion completed in just 6 months.
  2. Inflation can silently grow over time, culminating in a sudden and severe loss when it's too late, as seen in the case of Zimbabwe.
  3. The USA is dealing with unbelievably large numbers, including trillions and quadrillions, due to factors like derivatives.
Geopolitical Economy Report β€’ 458 implied HN points β€’ 25 May 23
  1. Debt has a long history in shaping societies, from ancient Mesopotamia to Rome, and understanding this history can provide insights into modern debt-based economies.
  2. There have always been alternatives to the debt-centric economic models, with concepts like debt forgiveness and economic balance being seen as sacred in many ancient civilizations.
  3. US and other first-world countries should consider the moral implications of collecting debt from struggling Global South countries, especially when it's used to fuel conflicts and harm society.
Moly’s Substack β€’ 58 implied HN points β€’ 31 Jan 24
  1. Even the entirety of Ukraine in total war for over a year cannot match the debt of just a single company like Evergrande.
  2. Jobs like sorting packages and working in a production line can be extremely exhausting and pay very little.
  3. The debt of Evergrande alone is larger than the debt of the entirety of Ukraine, along with many other real estate companies combined.
The Last Bear Standing β€’ 60 implied HN points β€’ 26 Jan 24
  1. China's economic growth was heavily reliant on property development and infrastructure, funded by the massive expansion of credit.
  2. The shift in Chinese government policy towards reforming the property sector and debt markets led to a significant impact on the economy.
  3. The Chinese financial system faced the risk of a crisis due to the extensive exposure to property debt and potential credit losses.
Concoda β€’ 405 implied HN points β€’ 18 Apr 23
  1. Monetary leaders have created new risks while trying to eliminate old ones.
  2. There is a high demand for ultra-short-term Treasury paper due to an impending debt ceiling drama.
  3. Bilateral repos act as a sponge in the market, absorbing excess cash when the supply of bills is low.