Current Events > Top Economist--The u.s. doesn't actually have to pay off it's $31 trillion debt

(+) Yeah! (+)

Not clicking that link.

It's Yahoo Finance.

Not clicking that link.

Republicans arent top economists, as demonstrated by the national debt they created

"Governments, then, must service their debts pay interest and repay principal when bonds come due but they don't necessarily have to pay them off; they can issue new bonds to pay principal on old bonds and even borrow to pay interest as long as overall debt doesn't rise too much faster than revenue," he added.

oh? don't a lot of people fault the dems for the huge national debt?

oh? don't a lot of people fault the dems for the huge national debt?

Take Trump, Elon's, and Buffett's money then.

US pays off 70% instantly lul

oh? don't a lot of people fault the dems for the huge national debt?

Not clicking that link.

Take Trump, Elon's, and Buffett's money then.

US pays off 70% instantly lul

most of their value is in stocks isn't it? so the economy tanks anyway

and Trump is irrelevant lmao. he isn't even worth 2 billion

More importantly, their money wouldn't pay an appreciable fraction of the debt anyway. Even taking every penny from the richest 400 people in the country would pay just over 10% of the debt.

yeah that's kinda what i think too, but iirc many many people believe otherwise.

That was from the Forbes 400 list 2022 - total net worth was 4 trillion. It's not an opinion.

Why is this even a Topic? Every country has reasonable debt that govt. uses bonds and other means to reassure that debt will be paid.... someday. Japan, China, EU, you name it, majority of the nation have debt. US has more because they recently printed money for covid and it's nothing special.

Hes correct. Government debt isnt the same as regular debt.

He's right.

People don't want to hear it because they think the government should be run on the same principles as good old traditional family finances.

Which is an absurd lie.

Hes correct. Government debt isnt the same as regular debt.

People only talk about the deficit when a democrat is in office, when a republican is in office no one cares

Trump $1.9 billion tax cut, ok
Biden $1.75 billion over 10 years build back better plan, the world is ending

The Presidents plan would eliminate the debt by 2012 -- one year earlier than previously projected. President Clintons budget proposes to reduce the national debt by $2.9 trillion over the next decade and to eliminate it by 2012, one year ahead of the projection in the February budget. The Presidents debt reduction comes from saving the entire $2.3 trillion Social Security surplus, the entire $403 billion Medicare surplus, and $192 billion of the on-budget surplus for debt reduction.

Interest payments would be eliminated. Currently we spend 12 cents of every Federal dollar on interest payments. These payments, which were once projected to grow to 25 percent of all federal spending in 2012, would be eliminated under the Presidents plan by that time.

On track to pay down $324 billion in debt held by the public over three years. In 1998 and 1999, the debt held by the public was reduced by $140 billion. OMB is projecting that the government will pay down an additional $184 billion in debt held by the public this fiscal year alone. That will bring the total debt pay down to $324 billion the largest three-year debt pay-down in American history. In contrast, under Presidents Reagan and Bush, the debt held by the public quadrupled.

The debt held by the public is on track to be $2.4 trillion lower in 2000 than was projected when the President took office. In 1993, the debt held by the public was projected by the Office of Management and Budget to balloon to $5.85 trillion by 2000. Instead, shrinking deficits and growing surpluses in the last three years are projected to bring the debt down to $3.45 trillion in 2000 -- $2.4 trillion less than expected. In 1993, the debt held by the public was 50 percent of GDP and projected to rise to 65 percent of GDP in 2000. Instead, it has been slashed to a projected 35 percent of GDP. Under the Presidents plan, it would be completely eliminated by 2012.

As a result, interest payments on the debt in 2000 are $125 billion lower than projected. In 1993, the net interest payments on the debt held by the public were projected to grow to $348 billion in 2000. This Administrations fiscal discipline has slashed this figure to a projected $223 billion -- a $125 billion improvement for one year alone.