1. Will Inflation and Growth Solve the Deficit Problem?

Index
Prelude   
Inflation Is Getting Back to Normal      
"Interest Rates Usually Follow
High Leverage Often Slows Growth     

Borrowing Increases Interest Rate and Refinancing Expense
Growth and Inflation Been Slow to Help but
Exorbitant Dollar Privilege Continues

More Long-Term Economic Question
   2. Will Debt End U.S. Capitalism?   3.
Jobs Loss to AI Growth   4. Dollar Privilege Continuation   5. Disposition of Illegal Immigrants

Free Book of the Semester   Great Recession: Historical Perspective    Created 7/22/18   Please link to ,use as textbook/supplement, and share.

 

 

Prelude

Lack of Inflation Is Not Helpful

Fed Warns About Coming Spike in PCE Inflation

 

 
 

 
 


"Interest Rates Increases Usually Follow Inflation

Junk Bond Market Still in Total Denial, Fighting the Fed 4/18/18 
    
See Why Interest Rates Are Rising

 

 
 

High Leverage Usually Slows Economic Growth
Increasing Interest Rates Will Lower Existing Debt Market Value
Make Refinancing More Expensive

 
 


More Federal Borrowing Increases Interest Rate
and Refinancing Expense
for Many

 

 
     
 


Predicted Low Growth and Low Inflation
Predict High Relative Debt

 

 
 

High Deficits During Low Unemployment Is Unusual

 
 

 

Tax Cuts During War Also Unusual

 
 

 

A Bumpy Road Ahead For The Global Financial System