Failure to curb deficit spending and halt the concomitant explosion of the federal debt would present the Federal Reserve with some very unpleasant monetary policy choices in coming years, a former Fed governor and other top economists warn in a report released Friday.

At the very least, as debt grows as a percent of gross domestic product and interest on the debt becomes an ever larger component of the annual budget, political pressure on the Fed will mount to hold down interest rates at the cost of rising inflation expectations, former Fed Gov. Frederic Mishkin and his colleagues caution.

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