#USNationalDebt
The US national debt is currently around $36.2 trillion as of May 2025, equivalent to about 122% of the country's GDP. This figure continues to increase by about $1 trillion every three months, and has now reached approximately $37 trillion.
Debt Holders:
About three-quarters of the debt is held domestically by US investors, government agencies, and the Federal Reserve. The remaining quarter is held by other countries.
Economic Impact.
Impact on the Economy:
* High Interest Burden:
The more federal budget is spent on paying interest on the debt, the less funding is available for important investments such as education and infrastructure.
* Investment Barrier:
High debt can raise interest rates, making loans and business investments more expensive, potentially slowing economic growth.
* Lack of Flexibility:
The government becomes limited in its ability to respond to economic crises or recessions.
* Fiscal Crisis Risk:
If investor confidence is lost, interest rates could spike sharply, triggering market instability.
In short, excessively high debt risks hindering long-term economic growth and stability. $BTC