Re: Hedge Fund/Bankrupt nations question
On May 4, 2007, at 9:46 PM, Auguste Blanqui wrote:
In Harvey’s Late Imperialism, the other DH writes: “… just as the
hedge funds, armed with trillions of dollars of leveraged money, could force Indonesia and even Korea into bankruptcy, no matter what the
strength of their underlying economies.”How might this occur?
By pumping a lot of money into Korean or Indonesian assets for a long
while, feeding a domestic credit boom, and then suddenly pulling out.
It probably wouldn’t be hedge funds alone, but also other
institutional investors.