When banks borrow on the wholesale money market to finance their investments, they borrow in dollars.

They can spend more or tax less and borrow the difference.

Two bubbles property and credit against which American families borrowed freely, have long since burst.

It may also borrow money and issue bonds, with the approval of a majority of township voting in an election.

Banks known to be healthy can borrow at much less than 5.25 .

This year, the US will borrow roughly 800 billion to finance its trade deficit.

Today, the US Treasury can still borrow unlimited amounts at rock bottom interest rates.

If a member country ran up additional debts, it could borrow only in its own name.

For example, a small business with a decent credit history can borrow large amounts with a major credit card.

Their central banks can borrow and use the money to buy up some of the flood of risky assets in the market.

Countries that borrow 3 and grow at a rate of 4 will converge towards a debt GDP ratio of 75 .

Compared to countries with very slow growth rates, countries with reasonably high growth rates should borrow.

By contrast, less developed countries that borrow in foreign currencies may run out of currency reserves.

For Yahweh your God will bless you, as he promised you and you shall lend to many nations, but you shall not borrow and you shall rule over many nations, but they shall not rule over you.

For the LORD thy God blesseth thee, as he promised thee and thou shalt lend unto many nations, but thou shalt not borrow and thou shalt reign over many nations,but they shall not reign over thee.

While Greece has virtually forfeited its access to capital markets, Germany has never borrowed on better terms.

Yahweh will open to you his good treasure in the sky, to give the rain of your land in its season, and to bless all the work of your hand and you shall lend to many nations, and you shall not borrow.

The LORD shall open unto thee his good treasure, the heaven to give the rain unto thy land in his season, and to bless all the work of thine hand and thou shalt lend unto many nations, and thou shalt not borrow.

They want to borrow as much as possible to finance ambitious investment projects, without worrying much about either repayment or inflation.

This NAB like vehicle could borrow as needed from countries, including the United States and China, as well as tap financial markets.

On top of all this, there is a shadow financial system of non bank financial institutions that, like banks, borrow short and liquid and lend to or invest in longer term and illiquid assets.

So the evidence does not really tell us whether a heavily indebted country should pay down its debt or borrow and invest more.

To pay for purchases in the United States, Britain cashed in its extensive investments in American railroads and then began borrowing heavily on Wall Street.

It would certainly make it difficult for governments to borrow abroad, but that would be a good outcome for their citizens, not an imposition.

People who disagree with them are said to favor austerity at a time when hyper low interest rates mean that governments can borrow for almost nothing.

As a result of this moral hazard, these banks can borrow on favorable terms, giving them a competitive advantage based not on superior performance but on political strength.

When interest rates are low and you can borrow on favorable terms, the market is telling you to pull government spending forward into the present and push taxes back into the future.

Countries borrowed from the IMF only under duress, when all else failed and when there was simply no other way to pay for essential imports.

The main source of concern is that the low interest rates at which most European governments can currently borrow are not likely to last. There are two reasons for this.

The polarization of borrowing costs has politically explosive distributional effects Germany is borrowing and refinancing its existing debt at artificially low interest rates.

At the moment, the United States Treasury can borrow at a real interest rate of zero for five years and shove the entire five year inflation risk onto the lender.

This contradicts American economists conventional wisdom that fast growing countries should borrow today against their larger future shares in the world economy.

Because of low interest rates in the United States, major financial institutions can borrow cheaply in dollars and then chase much higher returns in the major emerging market countries.

Countries that have their own currency, like the United Kingdom and especially the United States, which can borrow from foreigners in dollars do not face a direct financing constraint.

Rogoff argues that while, in hindsight, the government should have borrowed more, at the time there was a real danger that Britain would go the way of Greece.

When a government borrows a euro (or a dollar, pound, peso, or yuan), it commits itself to pay a euro in present value of future interest payments and eventual repayment of principal.

Such large fiscal deficits would mean that the government must borrow funds that would otherwise be available for private businesses to finance investment in productivity enhancing plant and equipment.

Worse still, they are being allowed to borrow cheaply from the United States Federal Reserve, on the basis of poor collateral, and simultaneously to take risky positions.

Nearly every study points in the same direction a large boost in the too big to fail subsidy during and after the financial crisis, making it cheaper for big banks to borrow.

Indeed, almost all the reserves added in the second and third rounds of QE, more than 95 , are sitting in excess reserves, neither lent nor borrowed and never used to increase money in circulation.

(By contrast, non financial corporations rarely borrow more than 70 of their assets, and often much less, despite the absence of any regulation of their leverage ratios.)

What business wouldn t jump at investment opportunities yielding returns in excess of 10 if it could borrow capital as the US government can for less than 3 interest?

In theory, this means that local governments cannot finance their deficits by increasing their debt levels, because they can borrow only from the central government or other central authorities.

When a country gives up its monetary sovereignty, its banks are effectively borrowing in a foreign currency, making them exceptionally vulnerable to liquidity shocks, like that which sparked turmoil in Europe s banking system in 2010 2011.

If Europe particularly the European Central Bank were to borrow, and re lend the proceeds, the costs of servicing Europe s debt would fall, creating room for the kinds of expenditure that would promote growth and employment.