Congressional Overspending Could Bankrupt America. What You Need To Know
There has been a lot of discussion and debate on the national debt. There has also been a great deal of finger pointing among various factions of the federal government. How long will Congress continue to overspend？ Will the U.S. go bankrupt at some point？ To answer these questions, we must understand a few facts about the national debt. Facts on the National Debt Here are some important facts to consider: 1. The U.S. debt now exceeds $33 trillion and is quickly approaching $34 trillion. 2. The average rate of interest on the national debt is 2.97%, according to the Department of the Treasury. 3. On October 31, 2023, former Dallas Fed President, Richard Fisher, stated that 50% of this debt will mature in the next three years and will need to be refinanced. 4. Refinancing will cause the average rate of interest on the debt to rise, likely above 5.0%. 5. Higher interest payments will stretch the federal budget further and weaken the governments ability to meet future needs. In short, as the debt rises, the federal government‘s ability to pay its bills will weaken. At some point, America’s credit rating will be reduced, and we will be required to pay a higher rate of interest on
