According to the Treasury, we are currently paying about 2% interest - just 10 years ago it was ~5%. If we get back to that point, we will be paying over 600 Billion in interest. IOW, about the size of the Defense Budget or 1/3 of the entire budget.
The insanity must stop soon ...
it will stop soon. It’ll end with a crash..
The problem with low interest rates is that capital formation dries up. That’s manageable given world trade and exporting countries with low wages (which is why China’s actually our bitch, rather than the other way around), even when politicians put local employers out of business via bills which are declaration of class warfare. Those are under the guise of “fighting pollution” (crock) “saving the environment” (crock) or “economic justice” (one of trust-fund Teddy’s favorite phrases).