Article originally appeared on thepostmillennial.com.
We’ve never seen anything like this level of total debt and leverage in the system,” he warned. “It’s an experiment. We know that credit bubbles have to pop. We don’t know when, but we know they have to.”
On Monday, the United States’ gross national debt surpassed $33 trillion, the highest number on record. Debt held by the public, that which is owed by the government to those outside Washington, also hit a new record, at $27 trillion. The milestones comes just weeks before the Congress’ September 30 deadline to fund the government.
The US has owed money from its founding, however in recent years the national debt has skyrocketed due to the Covid-19 pandemic and the war in Ukraine, growing $5 trillion between 2019 and 2020, and another $6 trillion since then.
In an interview with CNBC, Treasury Secretary Janet Yellen said she was “not really concerned about the impact” the Biden administration’s spending programs were having on the national debt, claiming all will be well if the federal government “make[s] sure that we stay on a sustainable course.”
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