Great article from War on the Rocks about America’s budget crisis and a new paradigm on the way to view it. I’m not sure I totally agree with it, but it’s important to open my mind and see the world through a different lens.
Our Debt-to-GDP ratio has skyrocketed from 6% in 2000 to 109% in 2020 and yet interest rates have gone from 4.3% to -0.1%. Robert Levinson author argues that traditional debt views aren’t relevant in the new low (or negative) interest rate environment we find ourselves in. I’m still dubious, but it’s a worthwhile read.
Abandon Old Assumptions About Defense Spending – War on the Rocks
