So what? The wrong investments never work out.
Owning a treasury.
Pay 1 million dollars for a T Bill paying 0.80 %
If you like the interest income stream, fine
If you need to cash out when the market rate is 3%n nobody is going to give you 1 million dollars for your TBill.
Your loss is bout 15% of what you paid.
Good times, good times
Selling a TBill
Government sells TBills at 1% rate
Later, TBill is rolled over at 3%
Interest on debt is 30 % of Government spend.
Then, interest spend is 90% of Government spend.
Good times, Good times