In my previous post I reviewed the recent experience of a number of countries whose sovereign debt levels became sufficiently high that creditors began to have doubts about the government’s ability to stabilize debt relative to GDP. When this happens, the government starts to face a higher interest rate, which makes debt stabilization all the [...] View the full post at: Does the U.S. Risk a Fiscal Tipping Point? Related posts: Will Fiscal Policy Pass the Test? Fiscal Stimulus: The Growing Debate About When to End It Fiscal ’08 May Retail Sales