National debt clock7/10/2023 ![]() Here's another thing keeping prices high: Climate changeĪbout two-thirds (67%) of Americans in a CNN poll in December said government spending is a major problem for the nation’s economy, below rising costs for food and everyday items (80% said that was a major problem) and roughly on par with the pandemic (65% said Covid is a major problem). Vice President Kamala Harris reads a briefing poster about drought conditions at the US Forest Service Del Rosa fire station in San Bernardino, California on January 21, 2022. “If we don’t get our fiscal house in order, all these other concerns like climate, inequality and national security will be made more difficult.” “The polarization of our government and, to some extent, our population, makes implementing solutions more difficult,” said Peterson. Yet there has been virtually no progress in Washington in addressing the national debt ,and the two parties remain deeply divided over many issues. What’s required to get us out of this situation is honesty and leadership from our elected officials,” Peterson said. “Our current fiscal posture is a result of many years of fiscal irresponsibility from both parties. He blamed Republicans and Democrats alike for running up the national debt. Peterson said the principal drivers of the “dangerous fiscal situation” remain an aging population and elevated healthcare costs. The center notes that the impact will be even larger if some of the temporary tax cuts are extended. The 2017 Tax Cuts and Jobs Act will add $1 trillion to $2 trillion in federal debt between 20, according to the Tax Policy Center. “But the structural problems we face fiscally existed long before the pandemic.Įven before Covid, Trump presided over a sharp increase in the national debt, highlighted by the massive tax cuts enacted in late 2017 – at a time when the US economy was booming and needed no fiscal stimulus. We had an emergency situation that required trillions in spending,” said Michael Peterson, CEO of the Peterson Foundation. Total debt outstanding stood at $9.2 trillion in December 2007 just as the Great Recession was beginning, according to Treasury data.īy the time former President Donald Trump took office, the national debt stood at nearly $20 trillion. Rate hikes are coming: What does that mean for you? Still, the national debt has skyrocketed in recent decades, driven up in part by the 2008 financial crisis and then the pandemic.Īn aerial photo made with a drone shows a house for sale in Round Lake Heights, Illinois, USA, 21 January 2021. So-called intragovernmental holdings total more than $6 trillion. This is debt held in Social Security and other government trust funds. The $30 trillion national debt figure is somewhat inflated by the fact that a chunk of the money is owed by the government to itself. “That means American taxpayers will be paying for the retirement of the people in China and Japan, who are our creditors,” said Kelly. Eventually, that will need to be paid back, with interest. The federal government now owes almost $8 trillion to foreign and international investors, led by Japan and China. Kelly pointed out that rising borrowing costs will limit how much money Washington can spend on other priorities like climate change. Peterson Foundation, an organization focused on raising awareness to the fiscal challenge. Interest costs alone are projected to surpass $5 trillion over the next 10 years and will amount to nearly half of all federal revenue by 2051, according to the Peter G. “It doesn’t mean a short-term crisis, but it does mean we are going to be poorer in the long term,” said David Kelly, chief global strategist at JPMorgan Asset Management. 'Significant' risk of the US economy shrinking this quarter, BofA warns In 2018, Massie spoke to Spectrum News 1 about the fact that he had installed a national debt clock when he became a member of Congress.A shopper leaving a ShopRite on January 08 in Clark, New Jersey. He was first elected to the House in 2012 and took office that year after winning a special election. The Republican, who represents Kentucky's 4th congressional district, has made the national debt a major issue throughout his time in Congress. You can't spend money you don't have or haven't borrowed," he added. However, the money hasn't been spent yet. ![]() ![]() "It's true that Congress voted to spend the money. That's not true," Massie tweeted on Monday. " Democrats argue we must raise the debt limit because we've already spent the money and we must pay our bills. The debt ceiling will have to be raised by Congress to pay for spending that has already been approved. national debt and has indicated that he's likely to oppose raising the debt ceiling later this year. Massie has long been critical of the level of U.S. built himself a national debt counter /MkDBGIpb2E- Melanie Zanona January 25, 2023
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