Budget deficit

I do want to make sure we’re clear that the budget deficit has no effect on interest rates currently. It could if there were no buyers of our debt and if it continues upward it could get so high that we couldn’t do much about it but raise rates. So it is a concern.

I think that it’s difficult to keep them separate as the politicians want to take too much credit for their input into the economy and that goes double in a Presidential Election year.

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Google+ photo

You are commenting using your Google+ account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

w

Connecting to %s