The cascading problem the Fed fears but doesn't discuss publicly is that if tax receipts drop (from recession) while spending remains high, the government must borrow more money; higher borrowing requires higher Treasury yields to attract international buyers, creating a 'doom loop' of escalating borrowing costs.
causalpending
Speaker
Mike TaylorEvidence Quote
“the cascading problem...if tax receipts are down...they are going to have to borrow more money...international buyers...are going to demand a higher price...the doom loop”
Source
Biggest. Bubble. In. Capital. Market. History | Mike Taylor 1-on-1 With Keith McCullough— HedgeyeCreated: 8/10/2026, 11:06:55 PM
My Notes
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