In the 1970's, the federal government was burdened with debt from the Vietnam War, I believe this debt caused the government to borrow money, which drove up interest rates. We now have huge federal deficits from the Iraqi war. I thought that, with the fedral government borowing money, this situation would drive up interest rates. What is different about the current situation verses that situation in the 1970s that allows interest rates to remain low?
2006-12-25
00:04:24
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5 answers
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asked by
JohnP
1
in
Economics