1. Will Inflation and Growth Solve the Deficit Problem?

9/29/19

Index
Inflation Remains Low
 Is Inflation Back?
 A 15 Year Cycle Agrees
 We Are Less Miserable
 High Leverage Often Slows Growth
 Borrowing Increases Refinancing Expense
 Low Growth/Inflation Keeps Debt High
 Exorbitant Dollar Privilege Important
needed to keep interest rates reasonable

Early Returns Positive


Inflation Remains Low

More Long-Term Economic Question

Recession, Market Crash, Both?

   Will Debt End U.S. Capitalism?

Jobs Loss to AI Growth

Dollar Privilege Continuation

Disposition of Illegal Immigrants

 

 

 

 

 

 

 

 

 
 

 

Is Inflation Back? No!

Annual Inflation Chart

inflationdata.com/

  
 

A 15 Year Cycle Agrees

  
 


We Are Less Miserable

 

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
But Make Refinancing More Expensive

  
 


More Federal Borrowing Increases Interest Rate
and Refinancing Expense for Many

 

  
     
 

Low Growth/Inflation Keeps Debt High
 

 

  
 

High Deficits During Low Unemployment Is Unusual

  
 

 

Tax Cuts During War Also Unusual

  
 

 

A Bumpy Road Ahead For The Global Financial System