Still Confused About Debt?
There are so many nuances and rumors surrounding debt (in general and also directly related to the United States), that it may be hard to clear it all in your head.
Take a look at this piece from Paul Krugman, professor of economics at Princeton University, to clarify a few of the many misconceptions regarding debt. More importantly, try to relate it back to what you hear in the news. Lately, there has been a lot of talk surrounding balanced budget amendments, debt and deficit reduction, and government spending. While external national debt is really a good thing in many regards, at what point is it bad? Is this point when interest rates start getting affected? Or is it more so about stifling aggregate demand and overall productivity of the economy?
Please keep all this in consideration when researching, writing papers, coming up with country policy, and of course, when you get to conference and debate!
Can't wait to meet you all!