Do we like high or low interest rates?

As the debate over the debt ceiling has heated up over the past month, the yield on the ten-year bond has plunged, from 3.57% on April 11 to 3.12% today. This is not a market which fears catastrophe come August 2. So it’s easy to see why Republicans simply don’t believe Tim Geithner when he tells them that if the debt ceiling isn’t raised by then, we will have some kind of macroeconomic Armageddon.Felix

I like the low rates, it means we have another rank reduction, a second dip. This is great news for it happens only before a great technological transformation. When the transformation is huge, it involves government and transportation. So we have to bounce the balance sheet problem once more back to government, hence the second dip.

The real danger is hysteria, the kind fostered by Timmy. Mass hysteria from government leaders often cause catastrophic war.