#USNationalDebt The US national debt is approximately $36.2 trillion as of May 2025, with each person in the US shouldering around $106,000 of that debt. This debt has been accumulating due to budget deficits, where the government spends more than it earns through taxes and other revenue sources ¹.
*Key Factors Contributing to the National Debt:*
- *Budget Deficits*: Ongoing deficits due to spending exceeding revenue
- *Aging Demographics*: Rising costs for healthcare and social security due to an aging population
- *Rising Healthcare Costs*: Increasing healthcare expenses putting pressure on the federal budget
- *Inadequate Revenues*: Tax system not generating enough revenue to cover spending
*Impact of the National Debt:*
- *Interest Payments*: The government pays interest on its debt, which can hinder future economic growth
- *Fiscal Sustainability*: Concerns about the long-term sustainability of the government's fiscal policies
- *Economic Growth*: Potential impact on economic growth, including inflation and reduced government spending in other areas
*Statistics:*
- *Debt-to-GDP Ratio*: 121% as of Q1 2025, indicating a high level of debt relative to the country's economic output
- *Interest Payments*: 10.7% of government spending in FY 2023, a significant portion of the budget ¹ ²
