In the medium term, US interest rates will return to pre-epidemic levels, as some people predictlottomaxjackpottoday, or will it remain high for a long time? Even Nobel Prize winner Paul Krugman said he had no clue.
"I'm simply confused when it comes to interest rates," Krugman said in an interview."No matter who it is, claiming to know the exact answer is deceiving themselves."
U.S. 10-year Treasury yields are currently at 4.5 percentlottomaxjackpottoday.4%, compared with less than 2% on the eve of the outbreak. The non-partisan Congressional Budget Office forecast earlier this year that it would be around 4% over the next decade.
Krugman, who now works at the City University of New York, said that today's situation may have changed compared with before the epidemic due to many factors. He cited a significant increase in immigration and the Biden administration's industrial policies as "attracting a lot of manufacturing investment."
He also said companies may also increase capital expenditures thanks to new technologies, including artificial intelligence.
Even so, Krugman went on to say,"Maybe 2019 should actually still be our benchmark, and we will go back to very low interest rates."