By: Warren Mosler | www.moslereconomnics.com
Debt approaching 1 quadrillion, and the highest as a % of GDP anywhere I know of, and still no bond vigilantes in sight!
Who would have thought???
Not to mention decades of o% interest rates, massive QE, and in general the Bank Of Japan trying as hard as it can to inflate.
Maybe it’s not all that easy for a central bank to cause inflation???
Anyway, net fiscal will add a bit to GDP, but nothing serious, and the hawkish rhetoric doesn’t seem to have changed any.
And note the cuts in welfare ‘paying for’ the increases in defense and infrastructure.