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Comment by marcusverus

2 months ago

Your analysis leaves out one teeny tiny little thing--the ~6 Trillion dollar federal budget!

If you're paying 100% of revenue on debt service, taking on more debt isn't optional. All other federal outlays must either cease or be funded by new debt. Given current levels of federal spending, that would mean increasing the national debt by ~20% of GDP, per year.

More debt --> higher debt service costs --> even more debt --> even higher debt service costs --> et cetera