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stephaniekelton.bsky.social
•
164 days ago
Please enjoy my new piece. And please consider subscribing!
https://open.substack.com/pub/stephaniekelton/p/how-to-cut-2-trillion-in-federal?r=nmaf&utm_medium=ios
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[–]
davenadig.bsky.social
•
164 days ago
Subscribed!
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philb53.bsky.social
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164 days ago
Dang.
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newmandarins.bsky.social
•
161 days ago
Also, Musk has complained that Interest on Debt is 10% of the Budget.
So his solution is to cut the Budget by $2T and increase Interest on Debt to 14% of the Budget.
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[–]
ericteusink.bsky.social
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164 days ago
I learn more from your book than any book I've read in the last decade.
If Congress told Treasury to stop issuing anything with duration beyond a 3-mo T-bill, what would happen to long term interest rates?
If it caused them to fall significantly, wouldn't that fire inflation back up?
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wbmosler.bsky.social
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163 days ago
No. That's why qe didn't work. Inflation isn't a function of the duration of tsy secs.
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twilightts.bsky.social
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163 days ago
It would cause inflation to fall since the government would be pumping less money into the economy though all those interest payments
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stupendousman.bsky.social
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164 days ago
"To be sure, this would trigger outrage and pearl-clutching from central bankers ..."
I couldn't possibly care any less about that.
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So his solution is to cut the Budget by $2T and increase Interest on Debt to 14% of the Budget.
If Congress told Treasury to stop issuing anything with duration beyond a 3-mo T-bill, what would happen to long term interest rates?
If it caused them to fall significantly, wouldn't that fire inflation back up?
I couldn't possibly care any less about that.