The Bell Tolls For The US Dollar

Last Tuesday, the U.S.’s debt passed the $40 trillion mark.

D.C. enjoys ignoring the debt almost as much as it loves piling it up. But that grim mile marker forced some of D.C’.s denizens to extrude some fake concern.

The tenor of which was almost entirely that of innocent bystanders — rather than that of the malevolent participants they all are:

“Lawmakers are sounding the alarm over the nation’s $40 trillion debt, lamenting Congress’s inability to meaningfully confront a problem that has grown increasingly difficult to ignore.  Both parties have spent years trying to tackle the rising debt.”

No: Both parties have NOT spent years trying to tackle the rising debt. (I’ll leave it to your imaginations what or whom they have been trying to tackle.)

The last Joe Biden-Democrat budget had a Fiscal Year (FY) 2025 deficit of of $1.78 trillion. The Donald Trump-Republican Big Broke Bill has a FY 2026 deficit of $1.9 trillion. As in larger than the allegedly more profligate Democrats.

The U.S. is adding $1 trillion to the debt — every 92 days. And in FY 2025, the U.S. started paying over $1 trillion per year — just in interest on the debt.

To try to pay for all of DC’s excess spending?  The Treasury Department issues bonds — and then sells them at market auction.  The bonds’ terms are from less than one year — all the way up to thirty years.

Say you buy a $100 bond. You get an interest payment every month for the life of the bond — and then at the end get back your $100.