Fed Chief Warns That National Debt Trend Will Choke Economic Growth

Less than two months after acting to bail out the nation’s money markets because of a liquidity crisis that arose from a surge in U.S. government borrowing to fund its spending, Federal Reserve Chair Jerome Powell testified before the U.S. Congress that the federal government’s current course of debt-fueled spending is on an “unsustainable path.”

USA Today‘s Paul Davidson reports on Powell’s November 13 congressional testimony, which foretells of a limit on both the Federal Reserve’s and the U.S. government’s ability to respond to future economic distress:
“The federal budget is on an unsustainable path, with high and rising debt,” Powell told

Read more at The Independent Institute