reply to post by SLAYER69
Which is a good point, but can China sell them in small quantities in secret to persons and countries that we would not like to pay in 30 years or
even 10 years? The full maturity to face value is 30 years, but they increase in value over time.
Let's say that current face value is 25 cents on the dollar and China can find a buyer (Russia, Iran, N Korea, or individuals like Osama,
Chavez,etc.) for 24 cents on the dollar. But in 5 years they would pay out 30 cents for example.
Of course China can keep a lion's share for the future but if enough were sold and arrangements were made by the buyers to cash in at a set time or
condition of recovered growth from the current recession, it would be enough to keep the US economically unbalanced. That would not devalue the Yen
too much and keeps the US a bit more dependent. Or maybe, China would be willing to "help out" by buying more T-Bills at a better rate than they
normally would have paid.