Investment is an attempt to induce growth. We all invest, attempting to make the future better than it would have been otherwise. After providing those, he said, it is then that the government should stay out of the free market's way. If my local government has succeeded in growing its tax base, in part by successfully educating its growing population, lenders will be happy to buy municipal bonds that help build new schools. Federal debt .
Lenders worldwide are glad that the USA wants to borrow some of their money.
You are obviously doing something right. We'd love for you to do even better, and because of your excellent track record of growth so far, we'd be happy to help you continue to grow. In other words, we'll lend you our money at one of the lowest interest rates we demand of any entity on the planet. Thank you for giving us a safe, secure way to invest our money. Conclusion Debt is a sound way to finance good investments.