This article appeared online at TheNewAmerican.com on Wednesday, August 12, 2020:
If the Manhattan Institute is correct, the national debt will reach $41 trillion no later than 2030, less than 10 years from now. Their calculations take into account the budget deficits baked into the numbers before the COVID crisis hit, the stimulus packages initiated since, the impact of an aging demographic on Social Security and Medicare, falling tax revenues due to a smaller economy, and rising interest rates.
Said the institute:
Over the full decade, the coronavirus recession is expected to add nearly $8 trillion to the national debt, pushing the debt held by the public to $41 trillion within a decade, or 128% of the economy….
This gives lawmakers six years or less to avert a potential debt crisis in which rising debt and interest costs would overwhelm Washington’s ability to tax and borrow.
Two key questions arise: