Fiscal realities

Many do not understand the implications of US debt service costs rising.

For nearly 20 years, it was effectively free for the US to issue debt as debt service costs were ~1.5%.

Now, debt service costs have doubled to 3% and will rise toward 5% as rates skyrocket.

To put this… pic.twitter.com/H2aMHMaT1v

— The Kobeissi Letter (@KobeissiLetter) September 27, 2023