Thursday, April 10, 2025

Chart of the day

Is this what some claim forced President Trump to reverse his tariff increases? Ludicrous! 

Take a close look at the chart below, the rates changed only by 0.2 percentage points.

For example, 0.1% of new, additional federal government debt of $1 trillion would represents $1 billion in future interest payments. It is not a negligible amount, however it also underscores how important it is for the US to reduce the federal government debt, currently standing at an unsustainable  about $36 trillion or roughly twice (200%) of annual US GDP.

Unfortunately, the chart should have provided more historical data, not just a few days of data, to provide a better insight.

Source



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