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Barry Eichengreen on the New Era of High Government Debt

Odd Lots

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Political Will and Government Debt

This chapter explores the intricate dynamics of political will in reducing government debt, using examples from Greece and Iceland to illustrate successful budget surpluses during crises. It reflects on the challenges in the current U.S. political climate, the significance of U.S. Treasuries in the global financial system, and the risks associated with upcoming debt ceiling negotiations.

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