‘Unsustainable Deficits’ and Bond Boycotts: Panic at the Fed or Back to Financial Normalcy?

"In brief, the United States economy, though no one is willing to say so, is caught in a Third World-style ‘debt trap.’ If the Government cuts the deficit, the economy sinks deeper into depression. But if it continues to print money and sell debt, buyers of US Treasury debt will at a certain point refuse to buy, meaning US interest rates could be forced severely high in the midst of depression conditions—equally catastrophic to the economy."