#USNationalDebt The U.S. national debt is the total amount of money that the federal government owes to creditors โ€” both domestic and foreign โ€” due to borrowing to fund budget deficits over time.

๐Ÿ“Š Current Overview (as of mid-2025):

Total U.S. National Debt: Over $35 trillion

Debt-to-GDP Ratio: Around 125%+

Primary Holders:

Public debt: ~75% โ€” held by investors, foreign governments, the Federal Reserve

Intragovernmental debt: ~25% โ€” owed to Social Security, Medicare trust funds, etc.

๐Ÿ” Types of U.S. Debt:

Debt Held by the Public: Bonds bought by individuals, businesses, foreign countries.

Intragovernmental Holdings: Debt owed by one part of the government to another.

๐Ÿ“ˆ Why It's Rising:

Large budget deficits

High interest payments

Pandemic-era spending (2020โ€“2022)

Tax cuts with insufficient offsets

Rising entitlement costs (Social Security, Medicare)

โš ๏ธ Risks of High Debt:

Higher interest rates and servicing costs

Lower fiscal flexibility in emergencies

Potential downgrade of U.S. credit rating

Crowding out of private investment

โœ… Mitigation Options:

Raising taxes

Cutting **sp