To: fiscon1
The risk of higher interest rates is very real. Actually, the article might have understated the risks of all the “stimulus” spending. Running up monstrous government debts, and paying them off by printing money, is a recipe for hyperinflation.
To: USFRIENDINVICTORIA
That's why the Dems' plan for a super-duper gazillion dollar bailout isn't going to happen-- sooner of later the interest rates will begin to creep upwards, quickly calling into question the US' ability to pay-off the debt, causing rates to rise even faster.
This will suck capital out of the economy, negating any Keynesian effect from the deficit spending.
Welcom to the real world, morons.
4 posted on
12/03/2008 9:41:51 AM PST by
pierrem15
(Charles Martel: past and future of France)
To: USFRIENDINVICTORIA
The article isolates the risks of having extremely low rates on the very instrument we will be using to borrow all this money combined with massive borrowing. I think the article paints a rather scary picture.
5 posted on
12/03/2008 10:23:01 AM PST by
fiscon1
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