The gradient of the fitted straight line (13:47) should be lot lower. It has been pushed up artificially. Three of the plotted points are far down from the line and one point is close but a little bit higher than the line. Please correct this graph. It is misleading.
13:00 . Why would government default influence an importer's ability to borrow US currency to finance the machine? Private credit is different from public debt... Google doesn't have problem borrowing money if the Argentine government defaults, even if Google has Argentine branches.
The gradient of the fitted straight line (13:47) should be lot lower. It has been pushed up artificially. Three of the plotted points are far down from the line and one point is close but a little bit higher than the line. Please correct this graph. It is misleading.
13:00 . Why would government default influence an importer's ability to borrow US currency to finance the machine? Private credit is different from public debt... Google doesn't have problem borrowing money if the Argentine government defaults, even if Google has Argentine branches.
Theory: inflation would make it more expensive for the importer to repay, resulting in higher perceived credit risk
Who is here due to Swen?