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Aging workforces and weak growth raise pressure on public debt
The piece argues debt fears can persist even when growth improves, because demographic aging and low growth leave governments with less room to maneuver.
WSJ Markets notes that while the bond market is focused on borrowing, concerns are also being driven by broader economic forces.
The outlet says aging workforces and anemic growth can make public debt look more burdensome, even in a period where growth is being supported by developments such as AI.
It adds that many governments may appear more prudent than the United States at present, but the underlying growth and labor-force backdrop still leaves debt levels looking worrisome to investors.