But the effort appears to be getting little traction so far, in part because some Democrats are insisting that any debt ceiling deal come as part of a package of changes that raises spending levels after October. The White House has sent mixed signals as to whether it would support raising spending caps, and Democrats have asked for firm commitments before they will proceed.
The spending cap raise is mostly about other past obligations due now. Taxes are down a bit, and rising everywhere else. Kamala Harris and education is about bailing out the school districts.
Repubs want to set the debt limit just to match current federal spending, except Dems have a new breed that never ordered any of the stuff, especially the bailout of state education.
Investors need increase their hedge against our MMT moment. We will see a sudden shift of state obligations to federal, more than liquidity back there can handle. This is what Repubs are guarding against, finance need hedge it.
I have a conflict of interest, I am 100 percent sure the MMT is coming but will not be a serious crisis. Hedging the MMT makes it more certain, but less volatile. A Pareto efficient preparation.
And, I speculate, the vast majority of financial analysts, and economists agree with the statement:
"Sure, the generational adjustment happens, and sure we can do it better than Nixon" I know because history says this same group of characters do this same stunt every time.
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