Fed’s Powell Says Federal Debt ‘Is Not at an Unsustainable Level’

RAJAN You mentioned amongst ░░░░░░░░ issues you were focused ░░░░░░░░ was the U S ░░░░░░░░ situation Well clearly U ░░░░░░░░ sovereign debt continues to ░░░░░░░░ And what are your ░░░░░░░░ on the longer term ░░░░░░░░ for interest rates and ░░░░░░░░ stability How much further ░░░░░░░░ we go in terms ░░░░░░░░ national debt before we ░░░░░░░░ a line that might ░░░░░░░░ unsustainable in the long ░░░░░░░░ Powell So the U ░░░░░░░░ is on U S ░░░░░░░░ debt is on an ░░░░░░░░ path It s not ░░░░░░░░ an unsustainable level And ░░░░░░░░ one really knows how ░░░░░░░░ further we can go ░░░░░░░░ countries over time have ░░░░░░░░ much farther But we ░░░░░░░░ now you know we ░░░░░░░░ running very large deficits ░░░░░░░░ full employment And this ░░░░░░░░ a situation that we ░░░░░░░░ much need to address ░░░░░░░░ or later we ll ░░░░░░░░ to and and sooner ░░░░░░░░ better than later In ░░░░░░░░ of if I can ░░░░░░░░ from my time working ░░░░░░░░ these issues it s ░░░░░░░░ the Fed s issue ░░░░░░░░ if you look at ░░░░░░░░ pie chart of federal ░░░░░░░░ the biggest parts and ░░░░░░░░ parts that are growing ░░░░░░░░ Medicare Medicaid Social Security ░░░░░░░░ now interest payments And ░░░░░░░░ that s really where ░░░░░░░░ work has to be ░░░░░░░░ And those are issues ░░░░░░░░ can only be touched ░░░░░░░░ a bipartisan basis You ░░░░░░░░ neither party can figure ░░░░░░░░ what to do without ░░░░░░░░ parties being at the ░░░░░░░░ So that s critical ░░░░░░░░ of this domestic discretionary ░░░░░░░░ which is essentially where ░░░░░░░░ percent of the conversation ░░░░░░░░ is small as a ░░░░░░░░ of federal spending and ░░░░░░░░ declining It s already ░░░░░░░░ as a percentage of ░░░░░░░░ spending So when people ░░░░░░░░ focusing on cutting domestic ░░░░░░░░ they re not actually ░░░░░░░░ on the problem Domestic ░░░░░░░░ spending is already going ░░░░░░░░ I just I like ░░░░░░░░ make that point because ░░░░░░░░ much of the dialogue ░░░░░░░░ the politicians offer is ░░░░░░░░ domestic discretionary spending which ░░░░░░░░ not the issue.”