Comments by "boz" (@BOZ_11) on "Algebris CEO Serra `Scared' by Gilt Market, GBP Turmoil" video.

  1. 0:17 - He needs a course in double entry bookkeeping. A current deficit is a capital account surplus. A capital account surplus can be used to buy foreign assets (real estate, stocks, bonds etc). The USA, UK, Canada, Ireland etc all have deficits, and they're all rich countries. Countries with a large "surplus", like Germany, Japan, Netherlands, Switzerland etc are also rich. In other words, it doesn't matter if you're in a deficit or surplus, what matters is that you're the winning party (as a nation) in those trades and that's measured by average wages (the higher, the better, obviously) EDIT: A number of countries have inflation of higher than 8%, like the USA, Canada, Mexico, Italy, Spain, and the Dutch are on 12%. Currently, inflation is caused by price gouging companies who've massively expanded their profit margins (for the SP500, 1,500bn in 2020 to 3000bn today, a doubling, or 50% higher than immediately before COVID).
    1