Paul Krugman On Debt, But Are Soaring Interest Rates Running Against Him?
Friday, May 31, 2013 - 10:31 AM
From the PBS NewsHour:
Will this month be remembered as the one that marked the big shift in interest rates, and a big shift from Paul Krugman's assurance about borrowing to Rogoff/Reinhart's warnings about cumulative debt? The reason I ask, on May 1, the interest rate the U.S. had to pay to borrow money for 10 years was 1.64 percent. This morning, it's 2.14 percent. That's a huge move -- a rise of nearly one third.