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20.05 - 19:45
As Inflation Eases Public Debt Load, Economists Sound Cautionary Note
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Rampant inflation is helping reduce the weight of the world’s public debt relative to its economic output, a boon for governments that economists warn could easily backfire if inflation stays unchecked.
Some highly indebted European countries—including Greece, Portugal and the U.K.—are on track to erase the additional debt raised to combat the Covid-19 pandemic as a share of gross domestic product over the next year or two, taking their debt-to-GDP ratios below 2019 levels, according to data from the International Monetary Fund.
Read more on wsj.comAbout this in other media
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