Gulf Coast Life

The national debt: How and why the US government borrows money


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Right now our public debt is about 97% of our GDP. The last time we had a ratio that high was around World War II. A key number that economists are focused on right now is how much interest the U.S. Government is paying to manage the national debt. Right now, we’re paying almost $1 trillion dollars per year in interest. That is more than we spend on the military budget and almost as much as we spend on healthcare, including Medicare and Medicaid, every year. So, in order to get an overview of how the U.S. national debt works, how the government borrows money to service the debt or even pay it back, how we’ve found ourselves in a place with such a high debt to GDPT ratio, and how concerned we all should be, we talk with the author of a recent piece in The Journalist’s Resource titled “The national debt: How and why the US government borrows money.”
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Gulf Coast LifeBy Mike Kiniry

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