Total debt rises by $8.4 trillion in last 8 years and is on pace to hit $22 trillion by 2020.
When the party is getting ready to end, you might as well ramp up the spending and put it on the nationwide credit card. Total U.S. debt blew right through the $19 trillion mark and has expanded by $8.4 trillion only in the last 8 years. There are countless obligations in the form of Social Security, Medicare, military, education, and other expenses that almost guarantee that total U.S. debt is going to expand further. This brings up an interesting situation in the respect that we will never pay this debt off. I think people get this, right? In fact, the entire debt foundation is built merely on the servicing of debt, not the actual payoff. Yet the amount of interest we owe is now also ridiculous. In December alone we paid $86 billion in interest for one month. The pace of debt growth is unsustainable and has created a world where central banks are chasing negative interest rates just to keep servicing costs low assuming they can find a borrower.
In debt we trust
Total U.S. debt is growing at an alarming pace. We don’t even hear about debt ceiling talks since we have thrown caution into the wind. We are now stuck in a corner hoping and praying that low interest rates will save us. Japan just entered into a negative interest rate environment and their economy has experienced more than two lost decades. Are we gearing up for the same?
As of the end of January, total U.S. debt hit $19,012,827,698,417.93. And $8.4 trillion of that growth happened in the last 8 years:
At the current rate, we’ll be at $22 trillion in 2020. It is probably no surprise that the American public is frustrated and much of that stems from many becoming poorer as the middle class is now a minority. Lip service is given to the public about fiscal restraint but in reality, there are two worlds we live in. One that is built on austerity for the working and middle class. The other world is built on giant bailouts and big handouts to the politically connected. It is no surprise then that this election is being challenged by outsiders.
The story of U.S. public debt is only one piece of the puzzle. Total debt outstanding in this country is monumental:
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