Borrowed
in sentence
413 examples of Borrowed in a sentence
In the 1970s, many Latin American countries had
borrowed
in dollars with abandon.
But many countries that have
borrowed
heavily in dollars are already under pressure.
Since every dollar, euro, yen, rupee, or yuan
borrowed
today requires the same present value in future interest payments – and therefore future taxes – there are important long-term costs to balance against whatever benefits the deficits create today; there is no fiscal free lunch.
Borrowing is also supported by an easing of credit standards and new financial products that increase leverage and widen the range of assets that can be
borrowed
against.
Consistent with other evidence, this implies that many non-financial corporations borrowed, taking advantage of the low interest rates.
But, rather than investing, they used the
borrowed
money to buy back their own equities or purchase other financial assets.
Even if a country’s trade unions enable such a policy through wage moderation, debtors would run into difficulties, because they
borrowed
on the assumption that high inflation would continue.
The currency crises of the 1980s and 1990s were particularly devastating because devaluations so often hit countries that had
borrowed
in dollars.
Exceptions like Hungary, where homeowners had foolishly
borrowed
in seemingly cheap euros and Swiss francs, proved the rule.
Until 2014, the country did not pay, in net terms, a single euro in interest: it
borrowed
enough from official sources at subsidized rates to pay 100% of its interest bill and then some.
Greece never had the productive structure to be as rich as it was: its income was inflated by massive amounts of
borrowed
money that was not used to upgrade its productive capacity.
One-room schools operate out of rented and
borrowed
spaces to save costs.
Hedge funds have
borrowed
hundreds of billions of dollars at ultra-low interest rate in Japan, and invested the proceeds in countries like Brazil and Turkey, where interest rates are high.
Moreover, because financial institutions’ assets were bought mainly with
borrowed
money, the shortage of credit is exacerbated by their need to deleverage.
Indeed, some countries with large dollar reserves – hardly in need of World Bank credit –
borrowed
from the Bank at far higher interest rates than they were getting from the United States, believing that these procedures would help ensure high-quality projects free of corruption and become standard in other areas.
Moreover, China now holds a massive volume of overseas assets and liabilities; its non-financial corporations have
borrowed
as much as $1 trillion abroad.
Skeptics see an empire living on
borrowed
money and
borrowed
time.
During recent years, the United States
borrowed
gigantic sums of money from the rest of the word.
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.
Having
borrowed
far too much after joining the eurozone in 2001, New Democracy and PASOK let their citizens down when adjustments and reforms were needed after the 2008 global financial crisis.
Most of the debt is owed within the state system – for example, by state-owned enterprises (SOEs) to state-owned banks – and the government could simply write off bad debts and recapitalize banks, financing the operation with either
borrowed
or printed money.
If people saved every extra penny of
borrowed
money that the government spent, the spending would have no stimulating effect.
For the many emerging-market firms that
borrowed
in dollars to generate local-currency revenue, the recent depreciation is triggering plenty of financial trouble.
Earlier this year, a Brookings Institution report tried to determine if Europe is an “optimal political area,” a concept
borrowed
from economist Robert Mundell’s theory of “optimal currency areas.”
Indeed, Argentina’s economy would be better off today if Argentina had
borrowed
in terms linked to its GDP decades ago rather than at an interest rate denominated in dollars.
In fact, throughout history, governments have had strong political incentives to monetize the deficit, with the subsequent inflation reducing the debt burden (and effectively confiscating the
borrowed
savings).
While cheap money had little impact on business investment, it fueled a real estate bubble, which is now bursting, jeopardizing households that
borrowed
against rising home values to sustain consumption.
Firms that traditionally
borrowed
on the financial markets avoided these high rates by relying on their own profits.
As a result, credit is tightened, balance sheets deteriorate (especially if companies or banks have
borrowed
in a foreign currency), investment contracts, and growth takes another hit.
At the same time, many emerging-market corporations
borrowed
in US dollars or euros, in some cases with little or no dollar revenues to match the dollar-denominated debt service.
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