The United States Is Adding to the National Debt Faster Than Ever
The United States just marked another unfortunate milestone: surpassing $39 trillion in national debt. This level of debt is more than the economic output of China and the entire Eurozone, combined. As a percentage of GDP, our debt levels are close to the level of debt after World War II.
Worse still, U.S. debt is accelerating relative to history; put another way, we are adding debt faster than ever.
In the 2020s, the U.S. added debt at a rate of $1 trillion every 5 months, more than twice the rate that has prevailed over the past 25 years. Yet, in the face of a growing economy, U.S. deficits remain substantially elevated and are projected to continue growing at a historic rate.
Looking at recent history, by decade, the U.S. added $1 trillion to the Debt:
- Every 24 months in the 2000s, on average
- Every 11 months in the 2010s, on average
- Every 5 months in the 2020s, on average
The nation's debt is growing at a historic rate and eclipsing all-time highs. Looking ahead, it is critically important for the nation’s leaders to prioritize fiscally responsible policies that put the country on a more sustainable path.
Photo by Jemal Countess/Getty Images for Economic Security Project
Further Reading
National Debt Projected to Hit 175% GDP; Interest Totals $99 Trillion
Compared with the previous 30-year projections, spending will be higher, revenues lower, interest rates and interest payments elevated, and the national debt significantly larger.
Federal Healthcare Costs on Track to Reach $3.1 Trillion by 2036
Federal healthcare programs are among the fastest-growing drivers of federal spending, and their continued growth will put significant upward pressure on the national debt.
Quarterly Treasury Refunding Statement: Higher Borrowing Compared to Last Year
Key highlights from the most recent Quarterly Refunding include an increase in anticipated borrowing of $249 billion compared to the same period in the previous year.