Foundation for Economic Education » Government’s Borrowing Costs Are on the Rise

Government’s Borrowing Costs Are on the Rise

Posted By Sheldon Richman

“As governments worldwide try to spend their way out of recession, many countries are finding themselves in the same situation as embattled consumers: paying higher interest rates on their rapidly expanding debt…. Even a single percentage point increase could cost the Treasury an additional $50 billion annually over a few years — and, eventually, an additional $170 billion annually.” (New York Times ^[1], Thursday)

Higher taxes, here they come.

FEE Timely Classic
“Undertaxed or Overspent?” ^[2] by E. C. Pasour Jr.

Article printed from Foundation for Economic Education: http://www.fee.org

URL to article: http://www.fee.org/articles/in-brief/governments-borrowing-costs-rise/

URLs in this post:

[1] New York Times: http://www.nytimes.com/2009/06/04/business/economy/04rates.html?_r=1&hp

[2] “Undertaxed or Overspent?”: http://www.thefreemanonline.org/columns/undertaxed-or-overspent/

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