Re:U.S. on Track to Add $19T in New Debt over 10 Years
by legitster on Thursday February 23, 2023 @01:37PM
(#34914566)
A budget surplus would be pretty irrelevant target in the grand scheme of things.
There are foreign policy implications (other countries waiting for us to pay them back is a good thing).
But also, just like corporate finance, if the government can get good rates on debt, it almost always makes sense to just take the money and make the payments.
So some small and sustainable amount of budget deficit is probably a good thing. But we are clearly on the wrong side of that equation.
There are foreign policy implications (other countries waiting for us to pay them back is a good thing).
But also, just like corporate finance, if the government can get good rates on debt, it almost always makes sense to just take the money and make the payments.
So some small and sustainable amount of budget deficit is probably a good thing. But we are clearly on the wrong side of that equation.