The government's current large budget deficits are artificially funding economic growth, so the economic growth in America looks good but masks an underlying problem—historically, at this stage of the economic cycle with unemployment this low, budget deficits would be 1-2% of GDP, not 6-7%.
causalpending
Speaker
Ruchir SharmaEvidence Quote
“because it's being funded by the deficit because usually in the past when America has been at this stage of the economic cycle where the unemployment rate has been this low the budget deficit has historically been only 1 or 2% of GDP today you have full employment virtually in America and a deficit of 6 to 7% of GDP”
Created: 8/11/2026, 8:01:53 AM
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