We use the foreign capital to help finance the deficit.
Indeed, increased competition might even lower the cost of financing the deficit.
And so we began to borrow abroad to finance the deficit.
Higher rates, necessary to get foreigners to finance the deficit, drive up the value of the dollar.
The insurance industry would have to finance the deficit.
If the Government no longer has to borrow so much to finance the deficit, this argument goes, then interest rates will decline.
Q. Is the three-year plan to finance the deficit too short a period, as some people have alleged?
All the bailout money is going towards financing the deficit and the debt.
To finance the deficit, the Treasury borrows money from the public.
It has forced the Government to increase inflationary pressure by printing too much money to finance the deficit.