Us Debt
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Between 2001 and 2011 the running budget of U.S. stopped working properly due to two recessions, tax cuts and two wars. The government spent more money and this led to borrowing more and higher interest rates than CBO estimated. Federal public debt totals $10 trillion today according to U.S. Treasury, and CBO projects it to reach $20.3 in 2020. Total debt is rising but what is more worrisome is the debt- to-GDP ratio. For the first time since World War II, the deficit exceeded 10% percent of GDP.
Lately, the political leaders have agreed to spend and invest less money in the economy for the next ten years. However, at this stage there are concerns that this plan might increase unemployment, lower the growth making the economy even weaker. ---The government spends more money than it brings in. ---There is broad agreement that the United States needs to pay down its debts, but most economists say the government should have waited a year or more for the economy to strengthen.
Lately, the political leaders have agreed to spend and invest less money in the economy for the next ten years. However, at this stage there are concerns that this plan might increase unemployment, lower the growth making the economy even weaker. ---The government spends more money than it brings in. ---There is broad agreement that the United States needs to pay down its debts, but most economists say the government should have waited a year or more for the economy to strengthen.
