Our government is now so deeply indebted that all macroeconomic policy choices are subjugated to doing whatever can be done to keep interest rates down.
If they had not stayed at historic lows for this long, and interest payments on the debt were thus much larger, everyone would recognize we were broke. If rates were at normal levels. even the happy talkers of the midstream media could not pretend that everything was fine.
If interest rates returned to the levels of the early 1980's, the federal government could not even pay the interest, much less the principal!
Inflation cannot be artificially depressed like interest rates. It is now over 5% and climbing, even though the economy is not growing very fast, if at all. So even if you are sitting on cash, the government's desperate need to keep rates down is sucking money right out of your pocket.
But it's a heck of good way to make sure that everyone becomes dependent on the 'Givernment' for subsistence!
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