tomder55
Feb 26, 2024, 04:54 AM
We have passed the point of no return . The debt spiral is unstoppable IMO .
The CBO illustrates the problem. They estimate that this year for the 1st time ;the money needed to service the US debt will be more than will be spent on either defense this year and Medicare by next year .
CBO: Federal Interest Payments Now Exceed Defense Spending (forbes.com) (https://www.forbes.com/sites/theapothecary/2024/02/07/cbo-federal-interest-payments-now-exceed-defense-spending/?sh=33bb28a249d3)
It's a double whammy . Irresponsible spending coupled with increased interest rates due in large part to Bideninflation means that more money is required for debt service .
America is expected to spend $870 billion, or 3.1% of gross domestic product, on interest payments this year. That is nearly double the annual average of 1.6% of GDP since 2000. And interest costs are projected to reach 3.9% of GDP by2034 2034.
A $1 Trillion Conundrum: The U.S. Government’s Mounting Debt Bill - WSJ (https://www.wsj.com/finance/the-u-s-government-will-soon-spend-more-on-interest-payments-than-defense-ee6fbeec?mod=hp_lead_pos3)
The only good news out of the CBO report is that despite it's dysfunction ;Congress managed to pass a good bill this session ; the "Fiscal Responsibility Act and the Further Continuing Appropriations and Other Extensions Act of 2024.”
That is because ;despite the fact that it is a pork laden omnibus spending gimmee bill ;they did manage to add some restraints on discretionary spending .
Implementing the Statutory Limits on Discretionary Funding for Fiscal Year 2024 | Congressional Budget Office (cbo.gov) (https://www.cbo.gov/publication/59861)
In a saner world we would be able to sue the government for fiscal malfeasance. But since we elect these clowns ;our only case is against ourselves .
To preserve our independence, we must not let our rulers load us with perpetual debt. We must make our election between economy and liberty, or profusion and servitude.
(Thomas Jefferson)
The CBO illustrates the problem. They estimate that this year for the 1st time ;the money needed to service the US debt will be more than will be spent on either defense this year and Medicare by next year .
CBO: Federal Interest Payments Now Exceed Defense Spending (forbes.com) (https://www.forbes.com/sites/theapothecary/2024/02/07/cbo-federal-interest-payments-now-exceed-defense-spending/?sh=33bb28a249d3)
It's a double whammy . Irresponsible spending coupled with increased interest rates due in large part to Bideninflation means that more money is required for debt service .
America is expected to spend $870 billion, or 3.1% of gross domestic product, on interest payments this year. That is nearly double the annual average of 1.6% of GDP since 2000. And interest costs are projected to reach 3.9% of GDP by2034 2034.
A $1 Trillion Conundrum: The U.S. Government’s Mounting Debt Bill - WSJ (https://www.wsj.com/finance/the-u-s-government-will-soon-spend-more-on-interest-payments-than-defense-ee6fbeec?mod=hp_lead_pos3)
The only good news out of the CBO report is that despite it's dysfunction ;Congress managed to pass a good bill this session ; the "Fiscal Responsibility Act and the Further Continuing Appropriations and Other Extensions Act of 2024.”
That is because ;despite the fact that it is a pork laden omnibus spending gimmee bill ;they did manage to add some restraints on discretionary spending .
Implementing the Statutory Limits on Discretionary Funding for Fiscal Year 2024 | Congressional Budget Office (cbo.gov) (https://www.cbo.gov/publication/59861)
In a saner world we would be able to sue the government for fiscal malfeasance. But since we elect these clowns ;our only case is against ourselves .
To preserve our independence, we must not let our rulers load us with perpetual debt. We must make our election between economy and liberty, or profusion and servitude.
(Thomas Jefferson)