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We have heard the predictions regarding the large number of people that will be retiring over...

We have heard the predictions regarding the large number of people that will be retiring over the next 25-50 years and the strain this is going to place on the federal budget. Assuming that federal borrowing will have to increase, what is the likely impact going to be on the risk and term structure (if any) of interest rates and why?

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regarding the large number of people retiring in the next 25 to 30 years this means that the productivity levels can go down and the investment can get to be a matter of risk as the number of skilled workers get to reduce on the whole and this can lead to increase in high amount of risk ok on the bonds other forms of investment etc. The risk is increasing, the term structure of interest rates at various yield times Gattu increases the investor expect more return wother more risk.

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