Anyone knows why Tea Party no longer holds rallies to protest mounting debt?
National debt is a looming threat that could hamstring U.S. government
May 26, 2018
The national debt has been a contentious issue among politicians and economists for years, and its growth has shown no signs of slowing. The size of the national debt has nearly quadrupled over the past 20 years, climbing above the $20 trillion mark as of the end of the government's 2017 fiscal year and moving inexorably higher.
Rock-bottom interest rates in recent years have effectively allowed the U.S. government to refinance its outstanding debt with much lower annual interest costs. For instance, in January 2000, the average interest rate on the U.S. Treasury's total interest-bearing debt was more than 6.5%. By December 2016, that figure had fallen to below 2.25%. A two-thirds drop in effective interest rates was necessary to avoid a disastrous rise in interest payments.
Recently, though, those rates have started to climb higher. The move thus far hasn't been big, with current levels still below 2.4% as of April. However, if interest rates continue to go up, the much bigger national debt will dramatically boost the amount of money needed to pay annual interest. That could take money away from other valuable government services, creating a potential budget crisis that would be bad news for the government, as well as the American population.
https://www.usatoday.com/story/money...ment/35184907/
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