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US National Debt Hit 30 Trillion years ahead of projections.

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Grouse Grand Master

Grouse

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We should be more worried about a total economic collapse than anything else the government tells us to worry about right now.

The U.S. national debt topped $30 trillion Tuesday, the highest it's ever been, according to Treasury Department data.

National debt grew significantly during the COVID-19 pandemic, increasing by $7 trillion since the end of 2019.

Almost $8 trillion of the total $30 trillion in national debt is owed to foreign investors, with Japan and China the top creditors, which must be repaid with interest.

“That means American taxpayers will be paying for the retirement of the people in China and Japan, who are our creditors,” David Kelly, chief global strategist at JPMorgan Asset Management, explained to CNN Business.

More than $6 trillion of the national debt is owed by the U.S. government to itself through government trust funds.

Debt has skyrocketed in past decades, beginning with the Great Recession of 2008 and exacerbated by the COVID-19 pandemic.

The national debt was $9.2 trillion in December 2007, before the financial crisis of 2008.

“Hitting the $30 trillion mark is clearly an important milestone in our dangerous fiscal trajectory,” Michael Peterson, head of the Peter G. Peterson Foundation, told The New York Times.  

"For many years before Covid, America had an unsustainable structural fiscal path because the programs we’ve designed are not sufficiently funded by the revenue we take in," he added.

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G-Man Veteran

G-Man

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On 2/3/2022 at 8:08 AM, Grouse said:

We should be more worried about a total economic collapse than anything else the government tells us to worry about right now.

The U.S. national debt topped $30 trillion Tuesday, the highest it's ever been, according to Treasury Department data.

National debt grew significantly during the COVID-19 pandemic, increasing by $7 trillion since the end of 2019.

Almost $8 trillion of the total $30 trillion in national debt is owed to foreign investors, with Japan and China the top creditors, which must be repaid with interest.

“That means American taxpayers will be paying for the retirement of the people in China and Japan, who are our creditors,” David Kelly, chief global strategist at JPMorgan Asset Management, explained to CNN Business.

More than $6 trillion of the national debt is owed by the U.S. government to itself through government trust funds.

Debt has skyrocketed in past decades, beginning with the Great Recession of 2008 and exacerbated by the COVID-19 pandemic.

The national debt was $9.2 trillion in December 2007, before the financial crisis of 2008.

“Hitting the $30 trillion mark is clearly an important milestone in our dangerous fiscal trajectory,” Michael Peterson, head of the Peter G. Peterson Foundation, told The New York Times.  

"For many years before Covid, America had an unsustainable structural fiscal path because the programs we’ve designed are not sufficiently funded by the revenue we take in," he added.

Must be repaid with interest is not true we can do what all other county's do to us and and say sorry not paying you back...  Mexico has done this several times.. 

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Grouse Grand Master

Grouse

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Actually at this time the interest on the debt is very low, but with inflation on the rise, interest on the debt will climb.

Currently the US manages to pay the interest on the debt, but nothing towards the principle.  If interest rates climb above 2% the US may not even be able to keep up with the interest payment.  That's when things start to fall apart.

People seem to have no idea what a total economic collapse would be like.  Look into it.

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Grouse Grand Master

Grouse

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The real issue is interest on all that debt, and what it means for the federal fisc. The debt costs very little when interest rates are near-zero. But when they rise, as they soon will, the burden of interest costs on the debt rises too. By one measure every percentage point increase in rates adds $100 billion a year or more to debt costs. That must be financed either with higher taxes or more debt.

 

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Grouse Grand Master

Grouse

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Once upon a time, your dollar was as good as gold. Then for many decades, they said your dollar was backed by the full faith and credit of government. Do you know what it’s backed by now? Used car loans, bad home loans, distressed assets and derivatives.
Rand Paul.
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ApexerER Mentor

ApexerER

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18 hours ago, Jeremy K said:

Stupid trump...

I agree with this. In hindsite we should have never shut down. We should have protected the elderly and went about life. All that covid relief money was never needed. Unfortunately there are people ( @Chef ) that think we didn't go far enough. I loved Trumps policies but listening to that idiot Fauci dug us a deep hole. Hard choice to make as commander and chief. Especially when the Media is continuously beating on you. If Trump had went with his gut, we would be much better off. 

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Grouse Grand Master

Grouse

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"For months, I have been ringing the alarm bell about inflation. Once again, we are witnessing that the threat of inflation is real. There is not a corner of this nation where hard-working families are able to escape the noticeable impact of this 'inflation tax.' Inflation taxes are draining the hard-earned wages of every American, and it's causing real and severe economic pain that can no longer be ignored. It's beyond time for the Federal Reserve to tackle this issue head on, and Congress and the Administration must proceed with caution before adding more fuel to an economy already on fire. As inflation and our $30 trillion in national debt continue a historic climb, only in Washington, DC do people seem to think that spending trillions more of taxpayers' money will cure our problems, let alone inflation. We must get serious about the finances of our country. It's time we start acting like stewards of our economy and the money the American people entrust their government with. Now, more than ever, we must remember it is not our money, it's the American people's money. It is not our economy, it's their economy. We all have a responsibly to do all that is possible to roll back inflation and manage our debts because the longer we or the Federal Reserve waits to act, the more economic pain will be caused." —Senator Joe Manchin

"One of the biggest, and one of the oldest, taxes is inflation. Governments have stolen their people's resources this way, not just for centuries, but for thousands of years." —Thomas Sowell

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Robhuntandfish Grand Master

Robhuntandfish

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although this presidency is a MESSSSS lets not forget the over spending happens on both sides.  There were stimulus bills signed under Trump.  He did fight them some but still signed them with terrible spending policies in all of them.  And the Republicans are no better at getting a balanced budget when they had the white house and Senate and wanted to spend on their projects.  yes better projects but still overspending.  Rand Paul tried to fight this against his own party and refused to endorse, requesting an emergency spending plan, that was put in during the war in Iraq, to be taken out of the budget.  "We dont even know where this money goes" but both sides refused to take it out.... 65 billion..... .  

Ways to fix things - that BOTH sides need to do 

1 -  All bills have to pass on their own merit.  There is to be NO attachments of any kind.  Make people bring their backdeal handshakes and pork to the floor and argue for it in the daylight.  

2- Balanced budget- just as we all have to live within our means - the govt has to live within what we give them to operate

3 - Each senator/representative should have to bring 10% spending reduction to the floor from each of their represented areas.  Then once that is done make them find another 10%. 

4 - a true independant audit on the Government in which the report is given to the people and not the politicians.  Highlighting the waste and side projects that are receiving government assistance. Then make ALL of them reapply and face the process in fix #1 above.   

 

 

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