The Japanese Canary in the Global Debt Coal Mine
https://www.project-syndicate.org/commentary/global-implications-of-japan-raising-interest-rates-by-barry-eichengreen-2025-12
A prospective rise in Japanese interest rates could indicate that not only Japan, but also other heavily indebted economies, including the United States, could face sharply higher yields on government bonds. The only way out for Japan is to boost economic growth; but for the US, it is to raise taxes.
Have we reached a tipping point on public debt?
https://www.ft.com/content/bee3d60f-adfd-49d2-9e82-a7e35ecf867a
https://www.project-syndicate.org/commentary/global-implications-of-japan-raising-interest-rates-by-barry-eichengreen-2025-12
A prospective rise in Japanese interest rates could indicate that not only Japan, but also other heavily indebted economies, including the United States, could face sharply higher yields on government bonds. The only way out for Japan is to boost economic growth; but for the US, it is to raise taxes.
Have we reached a tipping point on public debt?
https://www.ft.com/content/bee3d60f-adfd-49d2-9e82-a7e35ecf867a
Rich country debt will spur tax and price hikes
https://www.reuters.com/commentary/breakingviews/rich-country-debt-will-spur-tax-price-hikes-2025-10-27/
Government borrowing is heading towards 100% of global GDP and is unsustainable in the US and much of Europe. There is also huge pressure to increase spending on climate, defence and ageing populations. Some mixture of higher taxes and inflation will ultimately be unavoidable.
https://www.reuters.com/commentary/breakingviews/rich-country-debt-will-spur-tax-price-hikes-2025-10-27/
Government borrowing is heading towards 100% of global GDP and is unsustainable in the US and much of Europe. There is also huge pressure to increase spending on climate, defence and ageing populations. Some mixture of higher taxes and inflation will ultimately be unavoidable.
The Perils of Economic Centrism in a Polarized World
https://www.project-syndicate.org/commentary/loneliness-of-the-centrist-economist-by-kenneth-rogoff-2025-10
Few ideas in economics have been as misrepresented as the link between debt and growth. More than a decade ago, a prominent analysis was falsely cast as a call for austerity when, in fact, it showed something far more mundane: countries burdened by heavy debt often have limited room to invest or respond when crises strike.
https://www.project-syndicate.org/commentary/loneliness-of-the-centrist-economist-by-kenneth-rogoff-2025-10
Few ideas in economics have been as misrepresented as the link between debt and growth. More than a decade ago, a prominent analysis was falsely cast as a call for austerity when, in fact, it showed something far more mundane: countries burdened by heavy debt often have limited room to invest or respond when crises strike.
The Economist Special Report: Governments going broke
Related:
Investors beware: Fiscal dominance and financial repression ahead by VIVEKANAND JAYAKUMAR, The Hill - 07/13/25
https://thehill.com/opinion/finance/5397963-fed-keeping-rates-low-trump-administration/
Investors beware: Fiscal dominance and financial repression ahead by VIVEKANAND JAYAKUMAR, The Hill - 07/13/25
https://thehill.com/opinion/finance/5397963-fed-keeping-rates-low-trump-administration/