Wednesday, October 30, 2019

Congress currently pays the 50 year rate

The U.S. Treasury Department Is Exploring a 50-Year Bond for the First Time

I can see his point.

Take interest charges by total debt and we get about 2.5%. The thirty year rate is 2.3%, and we have a flat curve putting us at about the 50 year rate.

The reason, of course, is we picked up a ton of debt when the ten year was 3.5% and Krugman said that was low, at the time. Krugman was wrong. Now we be screwed with excess interest charges.

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