By David A. Levy and Srinivas Thiruvadanthai
Take a scary idea that sounds reasonable, repeat it often enough, and people begin to take it as truth. Unfortunately, current beliefs about US Treasury debt and deficits are a prime example of this principle: the US is being scared into seeking exactly the wrong sort of policy.
Many opinion leaders claim: “America is on the road to becoming the next Greece or Ireland,” “The deficit is destroying our children’s future,” or “We need to sharply cut the deficit now before it’s too late.”
