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Causeway
Track D · TradeNode D3

Supply chains as financial structures

Layer 1 · Pocket

The thirty-second answer

~ 30s read
What is this?

Goods don't move on their own. They move on letters of credit, trade insurance, and 60-day payment terms. Most "supply chain" problems are actually credit problems wearing physical clothes.

Why should I care?

When you read "supply chain crisis," read it as "credit crisis in trade finance." The physical bottleneck is real but secondary; the financial pullback is what makes it stick — and determines when it ends.

What's actually moving in a "supply chain"
Goods
obvious
Working capital
huge
Trade credit
huge
Trade insurance
decisive at the margin