2 ms·
spending is constrained by whatever Congress says it is. the difference is borrowed.
by exe34 2y ago
spending is constrained by whatever Congress says it is. the difference is borrowed.
- dools 2y agoIt's logically impossible for a government to borrow the currency it issues. What we refer to as borrowing is just swapping one government liability (reserve balances) for another (treasury bonds).
- exe34 2y agoyou don't borrow from the present, you borrow from the future and hope to pay it back with growth