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Borrowing in sentence

1116 examples of Borrowing in a sentence

As their economies recover, massive US government borrowing also will crowd out their government and private borrowers.
That is larger than the elevated borrowing by all other G-7 countries – the United Kingdom, France, Germany, Italy, Japan, and Canada– combined, plus profligate Portugal and Greece.
The steady increase in production costs, partly attributable to high borrowing costs, is squeezing enterprises’ profit margins of – small and medium-sized enterprises in particular.
Huge two-way gross capital flows are driven by transient changes in perception, with carry-trade opportunities (borrowing in low-yielding currencies to finance lending in high-yielding ones) replacing long-term capital investment.
By mid-July, however, the cost of borrowing for Spain and Italy was nearing four points, and France’s borrowing conditions were rapidly deteriorating.
Here, markets are guided by groundless fears, which are nonetheless perilous because they have a negative impact on borrowing conditions.
Issuing Eurobonds would mean replacing the current eurozone strategy of “every man for himself” with one based on the principle “all for one and one for all,” which would enable joint borrowing by euro countries.
In lieu of capital-flow restrictions, Turkey’s monetary authorities began to cut overnight borrowing rates in November 2010, in order to reduce the profitability of the carry trade (purchases of foreign-currency assets to take advantage of a higher interest rate).
As a result, Spain and Italy have had to pay much more on their own borrowing than they receive from Greece.
The structuralist perspective on macroeconomic behavior led to the concept that came to be called the “natural” rate of unemployment, borrowing from the notion, which arose in Europe during the interwar years, of a “natural” interest rate.
With central banks keeping interest rates near zero – and in some cases even probing negative territory – it is hard to find another time in history when borrowing was so cheap.
Households are running scared, so they cut expenditures as well, and businesses are being dissuaded from borrowing to finance capital expenditures.
Given this dissonance, the financial markets are responding with renewed upward pressure on Italian borrowing costs.
Worse still, the sell-off of state assets was accompanied by massive external borrowing.
In some cases, notably Argentina, borrowing by domestic buyers exhausted all available lines of credit.
Unfortunately, government borrowing to finance its deficit over the rest of this decade is projected to absorb about 5% of GDP.
The hope is that the reduction in borrowing costs on new loans, plus the austerity programs promised by governments, will enable bond prices to recover to par without the need for the creditor banks to take a hit.
They argue that with borrowing costs so low, deficit spending is virtually free, and we need not worry about high debt levels.
Then, in early August, the Bank of England cut borrowing costs, boosted its quantitative easing (QE), and committed an extra £100 billion ($131 billion) to encourage banks to lend.
Long-term government bond yields are already very low, and a further reduction will not significantly change private agents’ borrowing costs.
Many Western economies must deal with the nasty legacy of years of excessive borrowing and leveraging; those, like Germany, that do not have this problem are linked to neighbors that do.
Second, with low inflation pushing up real borrowing costs, capital and skilled labor are heading to stronger countries where inflation is higher.
If households and firms anticipate a tax increase in the future as a result of government borrowing today, they will reduce their consumption and investment accordingly.
To see the effect of this omission, consider that America’s net borrowing of $13 trillion dramatically understates the extent of gross borrowing, which was more like $25 trillion in gross terms.
Even the hint of a default would jeopardize the government’s credit rating and raise the cost of future borrowing.
America’s central bank has control over the supply of dollars, and currently exerts great influence over interest rates, both for short-term and long-term borrowing.
But they have not prevented a borrowing binge in their private sectors.
Yet governments across Europe have clamped down on infrastructure spending for years, giving precedence to fiscal austerity and debt reduction in the misguided belief that government borrowing crowds out private investment and reduces growth.
At that point, interest rates on sovereign debt would have to rise to sustain governments’ borrowing levels.
This helps explain why the Greek and Argentine governments are perennially in deficit (until borrowing options dry up and adjustment is inevitable), or why prices – and profits – are high in sectors (for example, transportation and telecoms) that provide would-be entrepreneurs with crucial (but often unaffordable) inputs.
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