If the United States had to service 100% of our outstanding debt, it would commit 53% of the total budget to service that debt. That would effectively cause the United States Government to collapse insofar as 48% of the budget is comprised of non-discretionary spending and 13% of the budget is comprised of necessary discretionary spending.
If the US was forced to begin to service all of its debt it simply could not do so and it would collapse. It should be noted that sometime in the future as Secretary O'Neill pointed out (with furrowed brows), the tab comes due.
Here's an analogy. Bushonomics has created for the United States a variable interest only mortgage with an ever-expanding balloon payment. It's as if a homeowner was using 40% of his income to pay interest on an interest-only mortgage on his house, then continuously expanding the balloon payment in order to service the other 60% of the debt.
Every year there is a budget deficit, the US Government's debt to equity ratio diminishes. The current accrual of debt we are not paying constitutes about $240 billion per year.
The Economic Policy Institute issued a statistic that the total aggregate debt (National Debt) of the United States by the year 2032 would be $100 trillion.
This figure, $100 trillion, exceeds the aggregate assets of the entire planet.
The current aggregate assets of the entire planet are only about $68 trillion. That means all of the money, all of the real estate, all of the gold, all of the oil, everything. Even now the actual amount of US debt on a realiz
If the US was forced to begin to service all of its debt it simply could not do so and it would collapse. It should be noted that sometime in the future as Secretary O'Neill pointed out (with furrowed brows), the tab comes due.
Here's an analogy. Bushonomics has created for the United States a variable interest only mortgage with an ever-expanding balloon payment. It's as if a homeowner was using 40% of his income to pay interest on an interest-only mortgage on his house, then continuously expanding the balloon payment in order to service the other 60% of the debt.
Every year there is a budget deficit, the US Government's debt to equity ratio diminishes. The current accrual of debt we are not paying constitutes about $240 billion per year.
The Economic Policy Institute issued a statistic that the total aggregate debt (National Debt) of the United States by the year 2032 would be $100 trillion.
This figure, $100 trillion, exceeds the aggregate assets of the entire planet.
The current aggregate assets of the entire planet are only about $68 trillion. That means all of the money, all of the real estate, all of the gold, all of the oil, everything. Even now the actual amount of US debt on a realiz
