New Bedford Guide Your Guide to New Bedford and South Coast, MA
Did you hear that Americans now pay $1 trillion in interest on the national debt? No? That is by design.
There is nothing more important to America’s future than our crushing national debt yet Joe Biden and congress distract us with global warming, Russia, Israel, and Trump trials. Look at this boogey man, but not politicans selling off our future. The Roman politicians figured this out over two thousands years ago; distract the population with wars and gladiators and some free bread while stealing all the wealth. Two men who didn’t know each other fighting to the death. Symbolically, today’s gladiators are just Democrat versus Republican, liberal versus conservative and black versus white. We pick a side, jump on social media and battle it out with people we don’t even know. Sometimes the combat hits the street. Today, we are willing to hate and fight with people we don’t even know while our politicians from both parties enrich themselves.
The United States Government is now paying $1 trillion annually in interest on the national debt and that debt is now increasing at a rate of $1 trillion every 100 days. A trillion is a big number and hard to comprehend so let’s see if I can help you understand how big it is relative to the gross domestic product (GDP) other countries and then the consequences of it.
America’s nation debt is now at $34 trillion, twice the size of the world’s second largest economy, China. In other words, America’s future generations owe twice as much money than the entire Chinese economy and that debt is growing fast. There are only 19 counties on earth with an economy larger than $1 trillion. Our $1 trillion interest payment is equal to the size of the entire Saudi Arabia economy ($1 trillion GDP). We pay annual interest payments that are larger than the total economy of 194 of 213 countries on earth. American tax payers pay more interest than the entire Switzerland economy is worth. You can see the list of countries by GDP here.
$1 trillion annual interest payments is about $2.7 billion a day. For some local perspective, the City of New Bedford budget for FY2024 is $513 million. This means America’s daily interest payment is more than five times larger than New Bedford annual city budget. Instead of sending $500 million to 5 American cities each day, we send the interest payments to the banks and wealthiest in the world who buy up the debt. Is the lightbulb on your head going off yet?
It’s important to note that these interest payments are paid off by printing more money and collecting more taxes, which is horrible for Americans. Printing more money leads to more inflation (too many dollars chasing the same amount of goods) and collecting taxes transfers money from mostly the middle class to the wealthiest. China is the largest country outside America holding our debt so you are building their cities with the interest payments, not America’s.
Imagine an elderly couple with a combined income of $100,000 a year with $120,000 in debt. Instead of paying off the debt, they just pay on the interest and keep spending recklessly knowing death will come before they’ll have to pay off the debt in full. Now imagine their children and grandchildren inheriting the debt and you have an accurate picture of your federal government spending and debt balance. President Biden is 81-years old and overseeing $1 trillion being added to the nation debt every 100 days and he’s asking for more addition spending – nearly $100 billion for Ukraine, Israel and Taiwan. He can print more money and raise taxes because the debt will go to the next generations and he’ll be long dead before the debt bomb explodes on his grandchildren.
It doesn’t matter if you are the horrible politicians who spend the money, or just a person ignoring it, you are equally responsible for destroying our future generations. Stop being distracted and call your local congressman.
This situation is created by Capitalism and Socualism within our country. Take your pick as to which contributes more. All I know is that businesses will produce and charge as much as they can, as long as there are consumers willing to pay it! During Bill Clinton’s Presidency, the debt was reduced big time. After him, it has gone up every year, big time during Republican administration’s, so figure it out!