US Hits $31 Trillion in Debt — No Signs of Stopping

US Hits $31 Trillion in Debt -- No Signs of Stopping

Biden Beats Other World Leaders – Sets New Records!

(ReliableNews.org) – America’s national debt has been climbing for decades. The wars in Iraq and Afghanistan caused it to explode. Two decades later, in the wake of the Great Recession, COVID-19 pandemic, and other crises, the debt is on the verge of breaking an unfortunate record.

In the first two weeks of September, the Treasury Department listed the national debt as $30.9 trillion. Experts believe it could reach $31 trillion for the first time in history by the end of the month.

The national debt is the cumulation of the total amount of money the government has borrowed, the net amount of surpluses and deficits. Oftentimes, policymakers will discuss how much a bill will add to or reduce the deficit — that’s different from the debt. Every year, the government has an operating budget, and the deficit is how much more money is needed to cover its bills.

In order to reduce the national debt, Congress must stop spending and begin to reduce the deficit to the point where it’s generating a surplus annually. The surplus then goes toward the debt and pays it down. Basically, the same way a family would pull itself out of debt. Currently, the government is running on around $1 trillion in the red for the fiscal year 2022, much as it has in the years prior. With unbridled spending, it could reach a $2-trillion deficit in the next 10 years.

If the government doesn’t curb its spending, it might have to resort to tax increases — though that’s a drastic measure. Is that really fair to American families already working hard to balance their budgets?

What do you think?

Copyright 2022, ReliableNews.org