The national debt just rose to 20.162 trillion with the new spending bill signed into law. It jumped up from $19.84 trillion and there is no sign of it being cut back. What does it mean for you? It means you’d better start growing money in your backyard.
Since March, the debt remained at $19.84 and in one day it went up more than $317 billion.
Allegedly, if you trust the bureaucrats, “extraordinary measures” were used to keep the debt at its ceiling since March.
Treasury is allowed to borrow again.
The entire spending bill and debt ceiling increase were a surprise because the President worked it out with the much-reviled Chuckie Schumer and Nancy Pelosi to clear the table for the President’s tax reforms and infrastructure bill.
Senate Majority Leader Mitch McConnell hinted Monday that Democratic leadership will not be as thrilled with the emergency Hurricane funding, government spending and debt ceiling deal they struck with the president as they initially thought.
“Since I was in charge of drafting the debt ceiling provision that we inserted into the flood bill we likely — almost certainly — are not going to have another debt ceiling discussion until well into 2018,” McConnell told The New York Times Monday.
“One of the advantages of being the majority leader is you control the paper,” McConnell said. “I wrote it in such a way that it does not prevent what is frequently done, which is the use of extraordinary measures. The minority leader and his team were trying to get us not to
The biggest problem in cutting government or passing any major legislations is Mitch McConnell, who won’t get rid of the filibuster rule to allow a majority vote. There aren’t enough real Republicans to get anything passed and everything important is literally “DOA”, dead of arrival. Trump needs Democrats.
The Treasury Department settled its accounts at the end of the day with $20,162,176,797,904 of debt outstanding. Of that debt, the Treasury said $14,622,661,213,046 is held by the public, while $5,539,515,584,857 is held by various parts of the government, also known as Intragovernmental Holdings.
The $5.5 trillion in intragovernmental debt is debt that one part of the government owes another, and does not impact governmental finances the same way, according to the Committee for a Responsible Federal Budget. The total of debt held by the public stands at roughly $14.6 trillion.
However, it does lead to the government spending $6 trillion on interest over the next decade. The trend needs to be reversed. Eventually, we will crash and burn.
The debt ceiling is suspended until December 8 and we could actually make it until next Spring or Summer.
A lot of our problems could be erased with tax reform, especially if the corporate tax rate is brought down to 15% or 20%.