Government Debt

Steve Conover explains the debt-rollover process in his on-going series on economic matters; he also adjusts the "debt clock" with the new, higher Q1 figures for GDP growth, lowering the US debt burden to 64.58%.

"the way some politicians talk, it’s as if they’ve never heard of the debt rollover process. Why else would they always be wondering, in their speeches, how our grandkids will ever “pay back the debt”? If they understood debt rollover, they’d understand that if our economy continues growing at a sufficient pace, our grandkids will never have to pay it back. Never. Nor will our grandkids’ grandkids, either. "

If only reporters and politicians were capable of understanding basic economics......well, and the average Joe Citizen, too, perhaps.

Oh, yeah, Kudlow pops demand-siders in the mouth today, too.

"Conventional demand-side economists keep talking about an economic slowdown. (See today’s WSJ front-page story).These folks are stubborn if nothing else. They ignore the huge success of supply side tax cuts that lowered the marginal tax rate on capital to the lowest level in history. Private business investment continues its surge. It remains an explosive engine of growth creating jobs, incomes and consumer spending. "

Gotta love Larry. He goes for the jugular.