foreign debt

Doug Henwood dhenwood at panix.com
Sun Sep 20 10:03:50 PDT 1998


Brad De Long wrote:


>But if you are a country with a large national debt relying on
>internationally-mobile foreign capital to finance a large chunk of it, that
>seems to be the way it is.

Is it your, or anyone's, sense that elite policymakers worry about 34% of Treasury debt being held by foreigners, up from just 21% in early 1995? Do they worry about a net foreign debt of $2 trillion, and a net international investment income slipping into the red? You used to hear about this in the 1980s, when the numbers were much smaller, but you almost never do now.

Doug



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