A Look At The Us Debt Spiral

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A Look At The Us Debt Spiral

Look At The Us Debt Spiral And Its Impact

If there's one thing which keeps going higher in the USA, it's debt! The US has been stuck in a debt spiral, which has led to an imminent crisis. In fact, it's so serious that it is now challenging the US's status as a world power.

Rising debt levels also mean a rise in the interest payments. Very soon, it will become difficult for the US government to service the debt payments. As a result, the US Fed will have to step in and buy the treasuries itself.

Usa Has $37 Trillion Of Debt

Back in 2000, the gross national debt of the USA was around $6 trillion. In 2025, the same number is now sitting at $37 trillion. So over a span of 25 years, that's an increase of almost 520%.

But what's even worse is that the US debt now amounts to almost 740% of the revenue (federal). This is a sign that the USA is now heading towards insolvency unless it takes some aggressive actions.

By the year 2035, the national debt of the USA will reach $67 trillion. This is a very optimistic assumption, and there's a good chance that it will even exceed that number.

To give you some perspective, the first $37 trillion debt was accumulated in 250 years. But it will only take another 10 years to add an additional $30 trillion in debt.

Another interesting fact is that around $9.2 trillion worth of debt will mature this year. This amounts to 31% of the US GDP and will have a long-lasting impact on the economy.

Also, the spending on defense is now overshadowed by the interest payments. Every single year, the USA pays around $1.11 trillion in just the interest payments. On the other hand, the spending on national defense is just $1.10 trillion.

According to third-party economists, the interest payments will likely reach $2 trillion/year during the next 10 years. The bottom line is that the whole debt issue is now getting out of hand.

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