Results 1 to 8 of 8

Thread: Why has the US deficit gone up 1 trillion but the total debt is unchanged?

  1. #1

    Why has the US deficit gone up 1 trillion but the total debt is unchanged?

    I'm always watching the debt and usually the delta in total debt is 30-40% higher than the deficit. For example if the deficit for the year is 1 trillion the total debt will go up by 1.4 trillion. From what I understand this is because of some creative accounting where they don't count certain types of spending, they call it "off-budget".

    But for Jan-Mar our deficits have added up to over a trillion (600+ billion in March!) but our total debt has stayed at 28 trillion. I heard that they are reducing the amount of reserve cash in the treasury by a trillion so maybe that's the reason? Anyway if that's the case that means that borrowing is going to ramp way up after they run out of excess cash.

    Deficits:
    https://fiscal.treasury.gov/reports-...s/current.html


    Total Debt:
    https://www.treasurydirect.gov/govt/...tothepenny.htm



  2. Remove this section of ads by registering.
  3. #2
    Consider that tax revenue collected and owed would be grossly down for the past 13 months and the extra 5 trillion in bills passed and being worked on I'm just assuming debt at 33 to 34 trillion by the next bill passage and this years deficit with the ( guessing ) 200 trillion in unfunded liabilities we can call it 233. So if you want to guess GDP at 20 by the end of 2024 the debt should be twice that and 200.
    Last edited by oyarde; 04-14-2021 at 09:03 AM.
    Do something Danke

  4. #3
    Powell just said today the debt is no problem , interest near zero through 2023 inflation 2 percent , easy peasy . Enjoy the good times .
    Last edited by oyarde; 04-14-2021 at 05:14 PM.
    Do something Danke

  5. #4
    When in doubt I just buy a 2 1/2 gold Indian and put on muh 1978 Cars , Let The Good Times Roll.
    Do something Danke

  6. #5
    I haven't looked into it closely but have suspected that lately fed.gov is running on fumes and is essentially in hand-to-mouth, paycheck-to-paycheck funding mode. New babies recently born and securitized via birth certificates (then immediately monetized via FED QE $120B/month) are, along with tax time receipts, the basis for stimulus and other spending bills. There isn't much cash in reserve and they're spending it as soon as it is freshly monetized and collected. That's my theory. Fed.gov is running on fumes.

    (Btw, it was only a few years ago that the debt total was "frozen" repeatedly while fed.gov funding issues were being worked out. May be happening again but without the media coverage this time.)
    Last edited by devil21; 04-15-2021 at 12:32 PM.
    "Let it not be said that we did nothing."-Ron Paul

    "We have set them on the hobby-horse of an idea about the absorption of individuality by the symbolic unit of COLLECTIVISM. They have never yet and they never will have the sense to reflect that this hobby-horse is a manifest violation of the most important law of nature, which has established from the very creation of the world one unit unlike another and precisely for the purpose of instituting individuality."- A Quote From Some Old Book

  7. #6
    Quote Originally Posted by oyarde View Post
    Powell just said today the debt is no problem , interest near zero through 2023 inflation 2 percent , easy peasy . Enjoy the good times .
    Just gonna sit back, and relax while stock market keeps going up up up

    It's all about taking action and not being lazy. So you do the work, whether it's fitness or whatever. It's about getting up, motivating yourself and just doing it.
    - Kim Kardashian

    Donald Trump / Rand Paul (Vice Pres) 2016!!!!

  8. #7
    Quote Originally Posted by devil21 View Post
    I haven't looked into it closely but have suspected that lately fed.gov is running on fumes and is essentially in hand-to-mouth, paycheck-to-paycheck funding mode. New babies recently born and securitized via birth certificates (then immediately monetized via FED QE $120B/month) are, along with tax time receipts, the basis for stimulus and other spending bills. There isn't much cash in reserve and they're spending it as soon as it is freshly monetized and collected. That's my theory. Fed.gov is running on fumes.

    (Btw, it was only a few years ago that the debt total was "frozen" repeatedly while fed.gov funding issues were being worked out. May be happening again but without the media coverage this time.)
    I read in several places that Yellen was reducing some cash fund from 1.6 trillion down to .5 trillion a few months ago. The article said the .5 trillion is actually the norm so it's not a like it's a big deal. So I'm guessing that 1 trillion is the reason we're not seeing the debt going up, yet.

  9. #8
    Quote Originally Posted by oyarde View Post
    Consider that tax revenue collected and owed would be grossly down for the past 13 months and the extra 5 trillion in bills passed and being worked on I'm just assuming debt at 33 to 34 trillion by the next bill passage and this years deficit with the ( guessing ) 200 trillion in unfunded liabilities we can call it 233. So if you want to guess GDP at 20 by the end of 2024 the debt should be twice that and 200.
    Total debt went up from about 23T to 28T in CY 2020. I'm guessing it'll do the same in 2021 which means we'll be at around 33 trillion by december. I invest for inflation so bring on the spending! The dumber the government gets the more I make.



  10. Remove this section of ads by registering.


Similar Threads

  1. Replies: 6
    Last Post: 07-27-2020, 08:43 PM
  2. Replies: 11
    Last Post: 02-02-2016, 02:49 PM
  3. US States Are Facing Total Debt of Over $4 Trillion
    By bobbyw24 in forum Economy & Markets
    Replies: 0
    Last Post: 10-25-2011, 05:52 AM
  4. America is staring at total debt of $115 trillion
    By bobbyw24 in forum Economy & Markets
    Replies: 18
    Last Post: 12-24-2009, 03:18 AM
  5. Replies: 0
    Last Post: 08-26-2009, 07:10 AM

Posting Permissions

  • You may not post new threads
  • You may not post replies
  • You may not post attachments
  • You may not edit your posts
  •