#USNationalDebt The U.S. national debt is the total amount of money the federal government owes to creditors. It arises from years of budget deficits, where government spending exceeds revenue. As of 2025, the debt exceeds $34 trillion, growing due to military expenses, social programs, tax cuts, and interest on existing debt. It is financed through Treasury bonds sold to domestic and international investors. High national debt can strain the economy by increasing interest rates, reducing public investment, and creating uncertainty about future taxes. While some debt helps stimulate growth, excessive borrowing raises concerns about fiscal sustainability. Policymakers must balance spending and revenue to manage the debt responsibly and protect long-term economic stability.