America's 'free lunch' attitude about its debt will be forced to change as interest rates remain higher for the next decade, Harvard economist says

• The view that the US can treat debt like "free lunch" is about to change, according to Kenneth Rogoff.
• The Harvard economist predicted interest rates would remain higher for the next decade.
• That's due to an array of pressures, like high military spending and deglobalization.

The view that America can take out debt like it's "free lunch" has to change, as interest rates will be elevated for the next decade, according to top economist Kenneth Rogoff.

The Harvard professor and former International Monetary Fund economist predicted that interest rates would likely stay higher than markets are used to, even if they temporarily fall ahead of the next recession.