Source: Fortune
Summary
The United States is paying nearly $970 billion a year to service the interest on its $38.8 trillion national debt, a figure that has nearly tripled since 2020 and exceeds what the federal government spends on national defense or Medicaid. The rapid climb is due to a combination of a ballooning federal debt load and sharply rising interest rates. The Congressional Budget Office projects that net interest costs will more than double again, to $2.1 trillion by 2036, consuming one-quarter of all federal revenue.
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The numbers tell one story.
The US government’s interest payments are growing rapidly, surpassing Medicaid and national defense spending. By 2036, interest costs will consume one-quarter of all federal revenue. The Congressional Budget Office projects that interest costs will exceed Social Security spending by 2047, becoming the single largest line item in the federal budget. The consequences extend beyond accounting, crowding out other national priorities.
The announcement sounds familiar: a fiscal emergency that draws little outrage.
The strategy enters a familiar phase: a credible deficit reduction plan remains the only viable off-ramp.
When the numbers become the story, the story becomes the numbers.
Author: Evan Null
