Jared Bernstein: ‘The Safe Haven of U.S. Debt Is Looking Less Safe Given the Actions of the Trump Admin’

EXCERPT:

BERNSTEIN: “It looks like higher interest rates and a more expensive cost of living. And we know that families across the board are already struggling with affordability issues. This administration has really worsened that problem, mostly through inflationary policies, including the war in Iran and its impact on energy costs, on grocery costs, but also through tariffs, which have had the same impact. And they continually double down on all that. What we're seeing now is that creditors, people who lend money to the United States to pay its deficit and debt, are demanding more compensation for all the reasons you just talked about. It's not that they think the U.S. is going to fail to pay its debt. It's that the safe haven of U.S. debt is looking less safe given the actions of the Trump administration, the recklessness that they've had in every space, not just fiscal space, but certainly in geopolitical endeavors as well.”