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Politics : PRESIDENT GEORGE W. BUSH -- Ignore unavailable to you. Want to Upgrade?

To: DavesM who wrote (288084)	8/19/2002 11:55:46 AM
From: TigerPaw	Respond to of 769670

raise short term rates much higher As I said, I think the coupling is loose. When the fed quit borrowing long term I think it may have had an effect on the excessive borrowing that marked the last year or so of the 90s. Not only were interest rates lower but there was no guarenteed alternative to corporate bonds, so corporations found it easier to sell bonds, investment bankers wanted bonds to market bonds and so persuaded more companies to issue bonds, and finally the companies flush with borrowed money paid too much to buy out other companies. TP