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The European Green Deal after Corona Implications for EU climate policy
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Government debt is both unsustainable and desirable

by Paul De Grauwe
24 June 2009

Government debt is both unsustainable and desirable

Paul De Grauwe

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There is no doubt that government deficits are unsustainable, but that does not imply that they are undesirable today. The uncomfortable truth is that in order for private debt levels to become sustainable again, government debt must temporarily become unsustainable.


About the Author


  • Author
    Paul De Grauwe
    Paul De Grauwe
    Associate Senior Research Fellow
Government debt is both unsustainable and desirable
Download Publication

1986 Downloads