The Debt Boomerang
In the 1930s, Keynesian economics laid out a new approach to reviving a stagnant economy. Many countries have since followed this game plan, a trend with lasting implications for future economic growth. According to the Keynesian script, governments achieve the requisite spending to thrust an economy out of a recession via a dose oflow central bank interest rates to incent private parties to borrow and spend. In the Keynesian mindset, spending is the key to recovery – never mind if the spender has to go into hock to do it. This doesn’t just apply to the private sector: governments are … Continue reading—>
The post The Debt Boomerang appeared first on The Spellman Report.
Source: http://thespellmanreport.com/2018/05/19/the-debt-boomerang/
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