The government’s decision to accept a wider deficit rather than tighten policy to meet previous targets will push up debt levels. But so long as bond yields don’t rise sharply (which we doubt is likely) this should provide support to the flagging economy.
Become a client to read more
This is premium content that requires an active Capital Economics subscription to view.
Already have an account?
You may already have access to this premium content as part of a paid subscription.
Sign in to read the content in full or get details of how you can access it
Register for free
Sign up for a free account to:
- Unlock additional content
- Register for Capital Economics events
- Receive email updates and economist-curated newsletters
- Request a free trial of our services