Formerly About Advanced Micro Devices Message Board

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Politics : Formerly About Advanced Micro Devices

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To: combjelly who wrote (252101)	9/20/2005 10:06:00 AM
From: Taro	Read Replies (1) of 1572190

A credit rating measures a debtors ability (and willingness) to pay back his debt to terms. The lower the credit rating, the higher the risk surplus added on top of the average interest to be paid. As simple as that. If the total debt, however, approaches a large chunk of the world total GNP, things start getting more complicated, I admit to that. But no economists worth their salt believe we are there as yet or soon. Sure, some are concerned we will eventually get there if we don't hold the horses soon. Just imagine, on credit hold with the Saudis. That would be similar to US imposing an oil embargo like they did on the Japanese just before Pearl Harbor... Taro

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