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Government Debt and Stock Returns

ClearMoney

But, while government spending may provide a short-term stimulatory effect on the economy, the prospect of higher future taxes and long-run impacts on spending and investment introduces many channels through which spending and debt levels might affect expected stock returns. US Department of the Treasury (2021). Reuters (2011).

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Is $22 Trillion a Tipping Point?

ClearMoney

But, while government spending may provide a short-term stimulatory effect on the economy, the prospect of higher future taxes and long-run impacts on spending and investment introduces many channels through which spending and debt levels might affect expected stock returns. 1US Department of the Treasury (2021). Crowding Out.”