Republicans have adopted a resolution to raise the debt ceiling in exchange for spending cuts or reductions in Social Security and Medicare.
If yields rise too much too quickly, the interest the US pays on its debt could force Congress to "question sustainability," UBS economists said.
The Fed has said it will hold interest rates near zero through 2023. The low rates ensure today's debt levels pose little threat, Powell said.
The CBO's report doesn't account for Democrats' $1.9 trillion stimulus, and could give Republicans more firepower in their fight against the bill.
The Congressional Budget Office expects federal debt to reach 102% of US GDP in 2021. The estimate doesn’t account for the $US1.9 trillion stimulus plan Democrats are set to pass. The CBO sees the debt pile then shrinking for a few years before rising into the next decade. Visit the […]
Republicans in Congress started criticising the Biden rescue plan on Friday. They railed against provisions to send stimulus checks and warned of a rising national debt. “Blasting out another $US2 trillion in borrowed or printed money.. would be a colossal waste and economically harmful,” Sen. Pat Toomey said. Many economists […]
Republican Sen. Ted Cruz says the mounting national debt will reemerge as a major concern for the GOP. The deficit had been growing even before the pandemic hammered the American economy because of the 2017 tax cuts and spending increases that Trump had enacted with GOP backing. Many Republicans are […]
Sen. Ted Cruz said in a recent Axios interview that President Donald Trump never promised to cut the federal debt. But the president actually pledged to eliminate it in two terms. “I’m very worried about the debt. And I’m worried about it under Trump,” Cruz said. “Now, to be fair, […]
The pandemic wrecked the US economy, and now – in less than two weeks – voters are set to decide which candidate they want to put it back together. Trump and Biden are making competing cases they are the best person to rebuild the economy. But history suggests that presidents […]
The US dollar will not crash despite the $US16 trillion debt pile that has built up because of the COVID-19 pandemic, former Treasury secretary Larry Summers told CNN on Sunday. “The dollar is the world’s safe haven. It’s the place that money moves into when people get nervous about the […]
The US federal budget deficit soared to a record $US3.1 trillion in the fiscal year that ended in September, according to Treasury Department data published Friday. The monthly budget report reflects the historic fiscal spending used to pad the US against the coronavirus pandemic, as well as the weakened tax […]
The Congressional Budget Office’s latest budget outlook sees federal debt becoming nearly twice the size of the US economy in 2050. Spending on economic relief throughout the coronavirus pandemic drove government debt to its highest since World War II. Higher borrowing costs and rising interest rates will drive debt to […]
Summary List Placement President Donald Trump is campaigning that he’s kept “every single one” of his promises. He said as much during the recent Republican National Convention. “I did what our political establishment never expected and could never forgive, breaking the cardinal rule of Washington politics: I kept my promise,” […]
Rep. Alexandria Ocasio-Cortez tore into Republicans on Wednesday, saying they’re using the federal debt to restrain the government from helping average people. “They were not concerned about the deficit when they wanted half a trillion dollars that would be leveraged into $US4 trillion for Wall Street and their donor buddies,” […]
Trump’s White House chief of staff Mick Mulvaney admitted in a speech overseas that Republicans were hypocrites on the deficit. The Washington Post reported it obtained audio of Mulvaney making the striking remarks. “My party is very interested in deficits when there is a Democrat in the White House … […]
Trump tore into critics of rising government spending and mounting debt under his watch, The Washington Post reported. “Who the hell cares about the budget? We’re going to have a country,” Trump reportedly said at a Friday fundraiser at his Mar-a-Lago estate. The comments offer a remarkable window into Trump’s […]
Former Federal Reserve chair Janet Yellen says the US can “afford” to increase its spending or cut taxes because it’s cheap to borrow with low interest rates. The additional room could give policymakers more leeway to spend more in infrastructure, education, combatting climate change and other programs to spur long-term […]