"Why will high Debt-to-GDP or government spending send the economy into a recession?" You're confusing the short run and the long run. In the long run there ar

"Why will high Debt-to-GDP or government spending send the economy into a recession?" You're confusing the short run and the long run. In the long run there are more degrees of freedom. In that context, this quote simply seems to show a lack of imagination. Entities that extremely indebted lack strategic operating flexibility (countries and businesses alike).