Why Economists Don’t Care About the Debt

There’s been a sharp turn in thinking about how much the size of the national debt actually matters, and economists are abandoning the debt-to-GDP ratio as the key measure of fiscal sustainability and the long-term burden of debt on society. Instead they’ve turned to another metric — the size of interest payments on federal debt relative to GDP — to make the case for much higher levels of deficit spending. Like this video? Subscribe: #Debt #GDP #Explained Bloomberg Quicktake is a global streaming news network for a new generation of leaders and professionals. Our coverage spans your whole world, from your career ambitions to your personal passions and larger societal concerns. We provide the insights you need to make sense of the trends and stories changing your business and your world. Bloomberg Quicktake: Explained brings you the context behind the headlines, helping you see the day’s news through the prism of what will matter in the years ahead. C