U.S. Government Borrowing Hits $4.9 Billion Daily, Driving Fiscal Deficit to $1.2 Trillion: Urgent Action Needed

U.S. Government’s Borrowing Hits $4.9 Billion Daily,

Drives Fiscal Deficit to $1.2 Trillion

The U.S. government is borrowing a lot, creating a $1.2 trillion deficit in the first eight months of the fiscal year. Maya MacGuineas warns of economic challenges as debt grows. Interest costs may exceed the defense budget this year. Also, the Social Security retirement trust fund is expected to run out of funds within a decade possibly leading to benefit cuts for retirees, according to the report of Just The News.

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(photo: LinkedIn)

MacGuineas Urges Action to Halt Borrowing and Reduce Deficit Amid Rising Interest Rates and Trust Fund Insolvency

MacGuineas urged stopping more borrowing and working together to cut the deficit. She warned about rising interest rates, inflation, and trust fund insolvency stressing the need for quick action. Before COVID-19, the deficit was $984 billion in FY2019. But the pandemic made things worse, highlighting the urgency of fixing fiscal problems to avoid a crisis.

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