Is There a Government Debt Problem?
Federal debt in most industrialized countries has increased quite a bit since 2008. Is this a problem going forward? Lets dig into this a bit…
Lets start with the US debt-to-GDP ratio 1960–2019:
Obviously, it exploded due to the last financial crisis, which decreased tax income and increased government spending. Throw in the general detaxation of the Trump Administration plus increases in spending, and indeed you get a lot of debt due to repeated deficits (deficits are the annual shortfall, while debt is the accumulation of deficits over the years).