{"id":16879,"date":"2024-08-30T14:05:50","date_gmt":"2024-08-30T11:05:50","guid":{"rendered":"https:\/\/www.poleconomix.gr\/portal\/?p=16879"},"modified":"2024-08-30T14:05:50","modified_gmt":"2024-08-30T11:05:50","slug":"exorbitant-privilege-and-the-sustainability-of-us-public-debt","status":"publish","type":"post","link":"https:\/\/www.poleconomix.gr\/portal\/exorbitant-privilege-and-the-sustainability-of-us-public-debt\/","title":{"rendered":"Exorbitant privilege and the sustainability of US public debt"},"content":{"rendered":"\n<p>Jason Choi, Duong Dang, Rishabh Kirpalani, Diego Perez<\/p>\n\n\n\n<p>Despite exceeding 100% of GDP, US public debt is considered safe due to the country\u2019s role as a safe global asset and reserve currency supplier. This column uses a model to quantify the additional debt capacity generated by this \u2018exorbitant privilege\u2019 status. It finds that the special status of the US increases maximal sustainable debt by around 22% of GDP, mostly due to debt being liquid and widely used as collateral. Overall, the US\u2019s status in global financial markets is crucial for debt sustainability, and efforts by other countries to establish competing safe assets could pose challenges to the US\u2019s dominant position.<\/p>\n\n\n\n<p>\u03a0\u03b7\u03b3\u03ae: Voxeu<\/p>\n\n\n\n<p><a href=\"https:\/\/cepr.org\/voxeu\/columns\/exorbitant-privilege-and-sustainability-us-public-debt\">\u03c0\u03bb\u03ae\u03c1\u03b5\u03c2 \u03ba\u03b5\u03af\u03bc\u03b5\u03bd\u03bf<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Jason Choi, Duong Dang, Rishabh Kirpalani, Diego Perez Despite exceeding 100% of GDP, US public debt is considered safe due to the country\u2019s role as a safe global asset and reserve currency supplier. This column uses a model to quantify the additional debt capacity generated by this \u2018exorbitant privilege\u2019 status. It finds that the special [&hellip;]<\/p>\n","protected":false},"author":4,"featured_media":0,"comment_status":"closed","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[18,39,4],"tags":[],"class_list":["post-16879","post","type-post","status-publish","format-standard","hentry","category-18","category-39","category-proposals"],"_links":{"self":[{"href":"https:\/\/www.poleconomix.gr\/portal\/wp-json\/wp\/v2\/posts\/16879","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.poleconomix.gr\/portal\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.poleconomix.gr\/portal\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.poleconomix.gr\/portal\/wp-json\/wp\/v2\/users\/4"}],"replies":[{"embeddable":true,"href":"https:\/\/www.poleconomix.gr\/portal\/wp-json\/wp\/v2\/comments?post=16879"}],"version-history":[{"count":1,"href":"https:\/\/www.poleconomix.gr\/portal\/wp-json\/wp\/v2\/posts\/16879\/revisions"}],"predecessor-version":[{"id":16880,"href":"https:\/\/www.poleconomix.gr\/portal\/wp-json\/wp\/v2\/posts\/16879\/revisions\/16880"}],"wp:attachment":[{"href":"https:\/\/www.poleconomix.gr\/portal\/wp-json\/wp\/v2\/media?parent=16879"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.poleconomix.gr\/portal\/wp-json\/wp\/v2\/categories?post=16879"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.poleconomix.gr\/portal\/wp-json\/wp\/v2\/tags?post=16879"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}