"The U.S. would need to cut spending or raise taxes by $827 billion, roughly what it spends on defense, just to keep the national debt burden from doubling by 2054."
"Interest paid on the national debt is expected to hit $1 trillion this year, surpassing military spending and bringing the country dangerously close to entering a 'debt spiral.'"
"What we did over the next 40, 50 years was cut defense spending from something like 9% of GDP, which is a lever the government cannot pull today."
To maintain a 98% debt-to-GDP ratio by 2024, the U.S. needs to cut spending or raise taxes by $827 billion, approximately 2.87% of GDP. The national debt, currently at $39 trillion, is projected to increase, with interest payments expected to reach $1 trillion this year. This surpasses military spending and risks a debt spiral. The U.S. credit rating has been downgraded due to worsening budget outlooks. Historical comparisons show that past reductions in defense spending are not feasible today.
Read at Fortune
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