The United States Is Adding to the National Debt Faster Than Ever
The United States just marked another unfortunate milestone: surpassing $40 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
Quarterly Treasury Refunding Statement: Borrowing Could Rise Soon
The U.S. Treasury has signaled its intention to add $1.4 trillion in new debt between July and December.
What Are Interest Costs on the National Debt?
Interest costs are on track to become the largest category of spending in the federal budget.
7 Charts That Illustrate America’s Growing Fiscal Stress
America’s fiscal situation is daunting, with key budgetary warning signs and hurdles approaching in the near term.