The Globe and Mail reports in its Wednesday edition that rising borrowing costs for heavily indebted governments and tensions in sovereign bond markets are prompting investors to reconsider an unthinkable question: will central banks need to help cover the costs? A Reuters dispatch to The Globe reports that "fiscal dominance" will be a key topic at the Fed's annual gathering in Jackson Hole, Wyo., featuring new chair Kevin Warsh, and leading economists and central bankers. Fiscal dominance occurs when a government relies on its central bank to buy bonds or give support due to its inability to manage finances independently. This practice has long been considered taboo in wealthy nations, as having a central bank print money to cover budget deficits can lead to inflation, currency devaluation and loss of confidence from foreign creditors. An institution free from political pressure can concentrate on controlling inflation, preserving confidence in a nation's currency and bonds. However, rising debt burdens are sparking debate on the boundary between fiscal and monetary policy. If a government's borrowing costs rise, it indicates a need to cut spending or up taxes. However, these choices are often politically difficult.