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Borrowing Quote by Thomas Frank

“Public borrowing is costly these days, true, but interest rates on municipal bonds are still considerably lower than those borne by corporate debt.” quote by Thomas Frank
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“Public borrowing is costly these days, true, but interest rates on municipal bonds are still considerably lower than those borne by corporate debt.”

Thomas Frank

About This Quote

Municipal bonds remain cheaper than corporate debt despite overall high borrowing costs.

In simple terms: City loans cost less than company loans.

Key Takeaway

Consider municipal bonds for financing.

Themes

finance public policy interest rates

Mood

analytical cautious

Type

informative analytical

When to use this quote

  • city infrastructure projects
  • municipal budgeting
  • investment portfolios
  • debt management

Key Concepts

Fiscal economics bond markets

Questions to Reflect On

  • Should you prioritize cost over flexibility?
  • How do you assess risk in public vs private borrowing?
A Different Perspective

Corporate debt may be more flexible.

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