The United States borrowed $944 billion in the first 11 months of fiscal year 2022, including $217 billion in August, according to the latest Monthly Budget Review from the Congressional Budget Office (CBO).
The following is a statement from Maya MacGuineas, president of the Committee for a Responsible Federal Budget:
As we approach the end of the fiscal year – and still without a budget in place for next year – this latest report is a reminder that the budget deficit remains alarmingly close to the trillion-dollar mark and will only grow if lawmakers do nothing to reverse course.
In early August, policymakers showed real signs of restoring fiscal responsibility. They made the pivot to real deficit reduction with the passage of the Inflation Reduction Act, but that lasted barely a week. Instead of continuing down a fiscally responsible path, President Biden signed an executive order forgiving massive amounts of student loan debt. This move wiped out the ten-year deficit reduction enacted by the IRA twice over with a stroke of a pen.
Over the past eleven months, we’ve witnessed 40-year high inflation, increased interest rates, and several pieces of budget-busting legislation. We are borrowing $3 billion per day – a previously unthinkable amount – and there is more bad fiscal news to come with Medicare only six years from insolvency and Social Security insolvency only 13 years away. We need our political leaders to rise to the challenge of putting the country on a strong fiscal footing.
The 21st century will not be kind to the US. Starting with Bush II, the presidents have grabbed the purse strings and congress chatters about nothing and does nothing. Biden is the most egregious of the lot, he thinks only of who can he shovel money to today.
There doesn’t seem to be any interest in spending for things like infrastructure that will improve lives but only for handouts to groups and individuals.
Debt killed the Roman Empire as well as many modern nations. But we are in a period of people trying to rewrite history and forgetting the lessons of the past.