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On the Margin: The Fed’s Dilemma: Deflationary Cliff Or Debt Spiral | James Lavish

Supply Shock

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Navigating U.S. Fiscal Challenges

This chapter explores the complexities of U.S. fiscal policy, focusing on the alarming levels of deficits and debt accumulation. The speakers highlight the implications of unsustainable government spending, the potential for economic decline, and the difficulties in managing mandatory expenses that outstrip revenue. Additionally, they discuss various strategies to address the growing deficit and the broader impacts of high debt levels on inflation and economic sustainability.

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