The more I read comments like this, the more I'm thoroughly convinced that people just throw economic terms as gobbledyremoved together to try and say something smart that makes no sense.

It's like when people want to seem smart about computers and start throwing random terms together that they don't understand.

Dunning-kreuger

I need an aspirin after reading that

payment in kind (PIK) mortgages

Gonna dig up my front porch and send it to my bank for my interest payment, dawg!

Edit: PIK Loans are an actual thing, it just means that you add the interest payment onto the existing debt rather than pay it over time. Which I'm sure would be great for a mortgage and not at all portend a crisis big enough to send us back to the stone age.

So the debts get sold around a whole bunch like a hot potato (for some reason) until it eventually ends up at these 'institutional investors' (who? The federal reserve I guess?), because these 'institutional investors' have to have low risk long duration debts (probably true?). They're the ones who have to pay for the debts because long duration fixed income (which is the same as low risk long duration I guess?) is 'toxic' (even though they're apparently required to have them). They're toxic as (can't tell if 'as' here means because or while?) the federal reserve 'monetizes' the debts (forgive the debts? pay the debt's instead of the debtors? sell the debts to someone?) because the debts are unpayable.

I think he means the government's going to buy the debts then forgive them? Because they'll totally do that, just look at student loans, right?

Also this is communism btw