The US FEDFed is increasing the interest rates on its reverse repointerest rate targets. These rates will eventually affect most other interest rates in the US economy. In particular, interest rates on US government bonds will also increase, which should increase the US government debt servicing costs. Moreover, the government has over 10 Trilliontrillion dollars in debt, so, the effect on its costs could even force it to increase tax rates. So So, is the interest rate increase by the Fed eventually going to lead to an increase in federal tax rates? Thanks Thanks!
dismalscience
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