Us Debt Tops $31 Trillion For First Time
Us Debt Tops $31
Trillion For First Time
America's borrowing binge has brought the national debt over $31 trillion for the first time in history, despite record prices, rising interest rates, and fears of a possible recession.
According to Treasury Department data published Tuesday, the US public debt closed on Monday at $31.1 trillion.
The milestone comes as the Federal raises interest rates to fight the worst inflation in 40 years and the government borrows money to fight the pandemic and support tax cuts.
"So many of our fears about our growing debt path are starting to appear," said Michael Peterson, CEO of the Peterson Foundation, which promotes deficit reduction.
According to Treasury figures, the national debt has risen by about $8 trillion since the start of the pandemic, with another trillion added in just the last eight months.
When Obama took office, the federal debt was $10.6 trillion. It was $19.9 trillion when Trump took office in 2017 & climbed to roughly $28 trillion under Biden, Treasury Department stated
Markets rallied close to 3% on Tuesday, extending Monday's gains and putting Wall Street on a more positive path after a terrible September.
According to the CBO and the White House, the national debt, calculated as a share of the size of the GDP, will fall in the following fiscal year before rising again in 2024.
"Excessive borrowing will contribute to sustained inflationary pressures, raise the national debt to a new record by 2030, and triple federal interest payments over the next decade"
According to the CRFB, the Biden administration has "enacted policies through legislation and executive measures that will add more than $4.8 trillion to deficits between 2021 and 2031."