Absent the statutory requirement that the US government issue bonds equal to deficit spending, is there any economic reason to do this? I'm having trouble understanding why a government should have to borrow what it can create from "thin air", absent inflationary pressure, of course.
Thanks,
Steve Bruns
On 10-Mar-11, at 4:40 AM, Doug Henwood wrote:
>
> On Mar 10, 2011, at 7:31 AM, brad wrote:
>
>> And isn't QE2 winding down...
>
> It sure is. But then there are those big deficits. And who's going
> to buy all those bonds?
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