It's that predicted rise in the interest rates that concerns me so much in California. We just passed our 15 billion dollar bond measure to reconsolidate our past debt. That doesn't do anything for our unbalanced spending, however. Here's the kicker though, something that didn't seem to make it into the analysis: the projected repayment of 15 billion
more dollars in interest was based on the current interest rates--which are at a 50 year low. Any guesses as to whether our interest rate will increase in the next 12 years?
Does anyone know if these type of bond measures are fixed rates, or adjusted? I'm not certain myself.