Posted on 02/02/2016 10:14:16 PM PST by Freelance Warrior
The national debt hit $19 trillion for the first time ever on Friday, and came in at $19.012 trillion. It took a little more than 13 months for the debt to climb by $1 trillion. The national debt hit $18 trillion on Dec. 15, 2014.
That's a slightly stepped-up pace compared to the last few $1 trillion mileposts. It took about 14 months for the debt to climb from $17 trillion to $18 trillion, and about the same amount of time to go from $16 trillion to $17 trillion.
The federal government has been free to borrow as much as needed for the last several years. Years ago, Congress passed legislation to increase the debt ceiling to a certain level of debt, and borrowing had to stop once that limit was hit. But increasingly, Congress has instead allowed more borrowing by suspending the debt ceiling for long periods of time. That allows the government to borrow any amount it needs until the suspension period ends.
Back in November, the debt ceiling was suspended again, after having been frozen at $18.1 trillion for several months. As soon as it was suspended, months of pent-up borrowing demand by the government led to a $339 billion jump in the national debt in a single day.
Under current law, the debt ceiling is suspended until March, 2017, meaning the government can borrow without limit until then. Obama is expected to leave office with a total national debt of nearly $20 trillion by the time he leaves office.
My belief is that it’s been at least that high for the last three years. They are just bringing the real total around gradually for when Obama is out of office.
...and the band played on...
#NationalDebtDon’tMatter
Add in unfunded future liabilities and it’s more like 100 trillion - more than all the combined wealth of the entire planet.
Thanks George W. and Obama!
unfunded liabilities are over 200 trillion...
Trump might be the man for this job. He has been involved in many bankruptcies..
The magic of compounding interest!
The majority republican congress elected in 2014 carries a lot of blame, anger and frustration of voters for signing on to Omnibus bill.
wait until they start raising the interest rate. then that graph gets even more interesting.
Absolutely, anyone who can withstand 4 bankruptcies, and go on to reach $10 Billion net worth, must know how to recover from near demise. He is the man urgently needed in 2016.
Progressives like to call it “investment”. They’re the only ones profiting from it.
Relax, they will NOT raise rates. As you point out, they can not AFFORD a parabolic rise in rates. They are talking NIRP (negative interest rates) already prevalent in Europe and now in Japan.
F our grandkids, let’s party!
How much control does the government really have over the federal reserve though? I’m not sure how negative interest rates will work. Will we have to pay the banks to keep our hard earned money stored on their computers?
It really is criminal what we are doing to future generations.
They are ALREADY doing it for a year in Europe. Banks in Sweden (who does not use Euro) are charging -1.1% (minus!) to keep your money in bank.
I was already in NIRP in my annuities because interest rates are lower than the life indemnity charge. Only after FED raised rates by 0.25, I am now very slightly above water.
The first Presidential election I followed closely was in 1992. Ross Perot was complaining about a $4 trillion debt. Good times.
Yes indeed. But the grand kids of politicians will be ok because grandpa will leave them a inheritance bundle.
Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.