The American national debt has reached record levels exceeding $37 trillion, at a time when concerns are rising about the implications for the financial and economic stability of the United States and the world. This alarming increase is attributed to a combination of structural factors, primarily an aging population and rising healthcare costs, which puts tremendous pressure on long-term government spending programs such as health insurance and retirement. Concurrently, servicing the public debt through interest payments is the fastest-growing item in the budget, with expectations that it will consume more than $13 trillion over the next decade, potentially undermining the government's ability to fund its future priorities. This is accompanied by serious warnings from prominent economists, who see that the U.S. financial system is approaching a critical point that could witness a crisis of confidence in the dollar and Treasury bonds, especially in light of the declining international enthusiasm for holding these bonds, as recently seen with some central banks. Additionally, the continued issuance of high-yield bonds to cover the deficit deepens the risks and threatens the stability of the entire debt market. Despite the government's efforts to contain the situation through regulatory measures and tax reforms, solutions appear limited without a clear political will to rein in spending and restore budget balance.
