In the first quarter of 2018, US companies announced $242 billion in stock buybacks. At that pace it will hit nearly one trillion dollars for the year.
In the first half of the year, the federal government will run a deficit of $600 billion. At that pace it will borrow roughly 1.2 trillion dollars for the year.
Put differently, corporations have a trillion more than they can spend this year and the federal government needs a trillion more than it has.
It sounds like an onion headline: "We will loan you our tax cut," investors tell government.
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