For the first time since World War II, the U.S. government’s debt will roughly equal the size of the entire American economy by the end of this year, the nonpartisan Congressional Budget Office said Wednesday.
The rapid change is largely due to the surge in new spending that the government authorized as it tried to control the economic impact of the coronavirus pandemic.
By the end of 2020, the amount of debt owed by the United States will amount to 98 percent of the nation’s gross domestic product, the CBO said.
That is up from 79 percent last year. Total government debt will surpass the U.S. economy’s size next year, the CBO said.
Fueling this rise is a big jump in the government’s annual budget deficit, which is projected to widen to $3.3 trillion by the end of this fiscal year, more than triple its level in 2019.
The deficit was already on track to be elevated because of recent tax cuts and spending increases, but the government’s response to the pandemic expanded that gap dramatically.
More propaganda and Fake ‘News’ from Stantis…
Meanwhile, back in reality….
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For the first time since World War II, the U.S. government’s debt will roughly equal the size of the entire American economy by the end of this year, the nonpartisan Congressional Budget Office said Wednesday.
The rapid change is largely due to the surge in new spending that the government authorized as it tried to control the economic impact of the coronavirus pandemic.
By the end of 2020, the amount of debt owed by the United States will amount to 98 percent of the nation’s gross domestic product, the CBO said.
That is up from 79 percent last year. Total government debt will surpass the U.S. economy’s size next year, the CBO said.
Fueling this rise is a big jump in the government’s annual budget deficit, which is projected to widen to $3.3 trillion by the end of this fiscal year, more than triple its level in 2019.
The deficit was already on track to be elevated because of recent tax cuts and spending increases, but the government’s response to the pandemic expanded that gap dramatically.
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https://www.washingtonpost.com/us-policy/2020/09/02/government-debt-economy-coronavirus/