The United States, we’ve been warned, has piled up a dangerous amount of public debt. The fear is that at some point, the bond market will cut us off, yields will skyrocket and the government will no longer be able to finance its deficits.
The problem with this idea is that we haven’t experienced anything close to it yet. Of course, I’m not saying it can’t or won’t happen. I’m merely pointing out that the more debt we pile on, the lower interest rates seem to go.
So at what point, exactly, will trouble start? Instead of looking for an economic stat, I think we should instead worry about a social stat. More specifically, it will truly be time to worry when we see the beginnings of emigration—if there’s a noticeable movement of young people and more entrepreneurial minded citizens leaving the United States