Business & Finance
Fed Is Facing Same Issues Greenspan Did in 2001: Kelton
Key Points
Stephanie Kelton, Professor of Public Policy and Economics at Stony Brook University, said the U.S. economy is outperforming its G7 peers, with fiscal support contributing to growth even as the deficit runs at roughly 6.5% of GDP. She noted that about half of the roughly $2 trillion deficit reflects interest costs, and emphasized that higher interest payments become income for bondholders rather than disappearing. She speaks with Romaine Bostick on "The Close" on October 28th, 2026.
Stephanie Kelton, Professor of Public Policy and Economics at Stony Brook University, said the U.S. economy is outperforming its G7 peers, with fiscal support contributing to growth even as the deficit runs at roughly 6.5% of GDP. She noted that about half of the roughly $2 trillion deficit reflects interest costs, and emphasized that higher interest payments become income for bondholders rather than disappearing. She speaks with Romaine Bostick on "The Close" on October 28th, 2026. (Source: Bloomberg)