Thursday, August 20, 2026

Gross U.S. government debt has surpassed $40 trillion (or 125% of GDP), a new milestone in the country’s struggle to control its finances.  

Bad news! President Trump needs to do more to contain or even reduce federal debt! This trend of ever higher government debt is unsustainable!

When the Euro currency was introduced in the EU, a government debt to GDP ratio of higher than 60% was considered to be a serious warning sign of too much  government spending!

"The country’s “total public debt outstanding” officially hit $40.047 trillion, the Treasury Department reported—a threshold that carries symbolic weight but isn’t, by itself, economically significant. In recent days, rising long-term government borrowing costs—and a sudden reversal Wednesday after the Treasury announced plans to buy back more long-term debt—have underscored the stakes of what economists broadly agree is an unsustainable fiscal trajectory. ..."

The Wall Street Journal What's news

U.S. Debt Just Topped $40 Trillion: How We Got Here "The U.S. has hit a new borrowing milestone, while debt as a share of GDP nears levels last seen during World War II"




Federal Debt: Total Public Debt as Percent of Gross Domestic Product from 1966-2025 (Source)


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