The ten year rat at 1.2.
hen I guessed that number I meant like soon, not tomorrow. The planed saving in low interest charged has been cut in half. This during the discussion on stimulus. and set by the size. The FX insurance companies want us to export more oil.
The Californians are getting stuck against the constraint, this is Texas, once again, leading the charge with fossil fuels. It is been there,done that, t worked during the last cycle.
It is the center of gravity effect, if the Swamp does structural change it has a known transaction cost, about two percent on the ten year, or equivalent bank taxes. Swamp is paying r,about to percent, NGDP is still about -two, or so it appears. But estimates are fuzzier these days.
The Californians are beginning to think about stretching the stimulus out in stages,good idea,an they should listen to Romney. The Californians are having their 'been there, done thast' moment, and they too want to avoid a year long tax battle.
They are actually learning the art of revenue sharing,they took two bites out of the apple and got some bounded market numbers. The center of gravity will prevail in the adjustments and amendments.
Keep the Romney plan, out to some years. It should have the renewal option. Dump the weighting on revenue sharing,get the true numbers. Take pandemic charges and debate a multiplier on that.
Similar to 2008. The war on the n rather tha the war on the Iraqis. Enough to keep interest charges tending toward two percent. The center Dems have an entitlement stability problem, and want that rate stable. he center will hold.
No comments:
Post a Comment