The evidence of a problem with debt and deficits would be high interest rates and/or inflation.
I can show you the charts, but you cannot see beyond the Walrus.
The charts show more debt means lower ten year rate and less inflation. Now, we just finished six months with basically zero consumer inflation.
What Dean really means is that any bout of inflation will immediately cause a mild recession. This sequence is in the charts, easily observable.
The causal path is simple, workers have to cover the swamp interest charges, the fastest rising item in the budget. If workers did not cover the interest charges, with 3% of their income, then government would miss its payments and folks like Dean would go all hysterical on us. But with 3% of worker income dedicated to cover interest charges for past bailouts, then the worker is not doing much consumer price discovery.
The consumer pays, ultimately.
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