Global Market: Fiscal dominance debate takes centre stage as government debt mounts - The Economic Times
Global Market: Fiscal dominance debate takes centre stage as government debt mounts - The Economic Times
Source: The Economic Times
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DW NOTE
When central banks monetize deficits for six years straight and call it "accommodation," the debate isn't whether fiscal dominance exists — it's whether anyone still pretends it doesn't. The US deficit hit $1.4 trillion through June, up 3% year-on-year, while the Fed holds rates at 3.65% against 6% budget deficits. That's not a policy mix, that's a capitulation dressed up as prudence.