3 ms·
Why do articles like this always talk about the magnitude of the debt, but not of how much the interest is. 34 trillion dollars of debt seems fine if there is 0
by charcircuit 3y ago
Why do articles like this always talk about the magnitude of the debt, but not of how much the interest is. 34 trillion dollars of debt seems fine if there is 0 interest on it. The interests payments take a portion of the budget the government has to spend so that seems to me more relevant to talk about.
- hammock 3y agoInterest on national debt as % of GDP: https://fred.stlouisfed.org/series/FYOIGDA188S https://fred.stlouisfed.org/series/FYOIGDA188S
- samspenc 3y agoI think this is precisely why this topic is coming up now, the interest on the debt has spiked recently due to higher interest rates. It was bad in the past decade, but not too bad due to a low-interest rate environment, but unsustainable with a higher interest rate environment.