4 ms·
Tax breaks are just borrowing using the good credit of the US on behalf of the private sector. Because the Treasury can borrow so cheaply is it bad that it is t
by pishpash 7y ago
Tax breaks are just borrowing using the good credit of the US on behalf of the private sector. Because the Treasury can borrow so cheaply is it bad that it is the one borrowing?
- jacques_chester 7y agoYes, because different borrowers receive different rates than would otherwise occur. That distorts the discovery and prioritisation of opportunities in the private sector. In particular, it elevates rent seeking over productive risk taking.