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Technology Stocks : Qualcomm Incorporated (QCOM)
QCOM 174.810.0%Dec 26 9:30 AM EST

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To: Peter J Hudson who wrote (91163)1/4/2001 1:57:53 AM
From: Don Lloyd  Read Replies (1) of 152472
 
Pete -

...Just think about the long lasting tax relief we will get when we pay off that huge national debt.

You are the only person I have ever heard suggest such a thing was likely, as opposed to supporting new spending.

In any case, speaking in a generally simplified manner, unless you know how interest rates will change in an unknowable future, all cash flows will use a single interest rate to discount those flows over time. This means that your future tax relief, when discounted to present value, will exactly be offset by the payments you make in the present to create it by paying off debt.

Regards, Don
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