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> The Congressional Budget Office warned that U.S. deficits and debt will grow considerably over the next 30 years, forecasting that the nation's $34.5 trillion

> The Congressional Budget Office warned that U.S. deficits and debt will grow considerably over the next 30 years, forecasting that the nation's $34.5 trillion national debt, which currently represents about 99% of GDP, could grow and rise to 166% of GDP by 2054. I don't see how the math turns out here: it's growing much faster than that. The public debt is growing by $1 trillion in 100 days at the moment. That's 3.5% a year and it's compounding (due to the cost of servicing the debt). The snowball effect already started and the debt is already out of control. I suggest we blame Bitcoin /s

richrichie 3y ago
Division by GDP is not always informative. Debt is a stock variable and GDP (ie income) is a flow variable. A good analogy is household finance. Most people with mortgage will have a debt to gdp (ie annual income) ratio that would be 3 or 4x. But it is meaningless. What is relevant here is interest payable to income ratio. For example, a slightly dated estimate of the “net worth” of the US: https://en.m.wikipedia.org/wiki/Financial_position_of_the_United_States https://en.m.wikipedia.org/wiki/Financial_position_of_the_Un...
politician 3y ago
> The snowball effect already started and the debt is already out of control. I think we should report the debt and the interest on the debt in multiples of federal income tax revenue.