The #USNationalDebt refers to the total amount of money that the United States federal government owes to creditors. This includes both:
Public Debt – Money borrowed from external lenders such as individuals, corporations, foreign governments, and institutional investors.
Intragovernmental Holdings – Money borrowed from government programs like Social Security and Medicare trust funds.
🔢 Current Status (as of mid-2025):
Total Debt: Over $34 trillion
Debt-to-GDP Ratio: Around 120%, meaning the debt is larger than the country’s entire annual economic output.
🧾 Why Does the U.S. Borrow?
To fund programs when tax revenues aren’t enough (e.g., Social Security, defense, infrastructure)
To manage economic crises (like COVID-19 stimulus packages)
To cover budget deficits (when yearly spending exceeds income)
⚠️ Key Concerns:
Rising interest payments on the debt
Potential credit rating downgrades
Long-term pressure on future generations
Reduced ability to fund other services.