Number: RL31775 Title: Do Budget Deficits Push Up Interest Rates and Is This the Relevant Question? Authors: Marc Labonte, Government and Finance Division Abstract: In reviewing the major theories of the budget deficits effect, this report explores the deficits effect on both interest rates and the nations welfare. It begins with the mainstream view, and then explains how other versions differ from that view. Pages: 13 Date: January 2, 2008