The United States increased its national debt by $215.65 billion in just 30 days.
new data The national debt from the United States Treasury increased from $34,534,845,450,747 on May 15th to $34,750,498,829,987 on June 15th.
As of last month, interest payments on the debt already exceed the amount spent on defense, Medicare and Medicaid, and more than the amount spent on veterans, education and transportation combined.
Vance Guinn, who served as deputy director for economic policy at the White House Office of Management and Budget from 2019 to 2020, wrote in a new op-ed for the American Institute for Economic Research: To tell America is on the brink of financial collapse
“These figures are not just numbers; they represent a pressing burden that future generations will have to bear — a burden that goes beyond mere fiscal policy and enters the realm of ethical responsibility. The enormity of this debt is compounded by the interest payments that accompany it, which have ballooned to more than $1 trillion per year, exceeding the national defense budget.”
This situation presents a troubling scenario in which the government will resort to further debt issuance to manage its debt, a practice that is unsustainable by any standard measure of sound budgeting. The economic impacts of this debt cycle will be severe, leading to higher interest rates, possibly higher inflation, and a misallocation of resources that will stifle productive private sector activity.”
Not only will it be hard to avoid raising taxes on the middle class, Ginn warns, but it’s also likely that these programs will go bust over the next decade, causing millions of Americans to lose their benefits.
Citing Rahm Emanuel, President Barack Obama’s former chief of staff, Guinn urged us not to “let the crisis go to waste.”
“In the face of this fiscal upheaval, discretionary spending and debt ceilings are set to expire in 2025, adding further complications to an already challenging fiscal environment. The United States is at risk of a severe fiscal crisis without thoughtful reforms, particularly in so-called ‘entitlement’ programs such as Social Security and Medicare, which consume a significant portion of the federal budget. These areas need to be addressed, as both are set to essentially collapse over the next decade, with millions of beneficiaries facing steep cuts in benefits.”
Given all these challenges, fiscal and monetary rules are of utmost importance.”
Don’t miss out on the latest news – subscribe to receive email alerts directly to your inbox
Check price trends
follow me X, Facebook and telegram
Browse the daily Hodl mix
 
Disclaimer: Opinions expressed on The Daily Hodl are not investment advice. Investors should do their due diligence before making high-risk investments in Bitcoin, cryptocurrencies and digital assets. Transfers and transactions are at your own risk and you are responsible for any losses incurred. The Daily Hodl does not recommend buying or selling cryptocurrencies or digital assets and is not an investment advisor. Please note that The Daily Hodl participates in affiliate marketing.
Generated image: On the road