President Joe Biden signed the bill that effectively turns off the debt ceiling until 2005. Many American critics stated that the US national debt path is a catastrophe.
US President Joe Biden’s remarks on government default. (Photo: Reuters)
The US debt increased to $1 trillion after the US president signed the debt ceiling bill. However, negotiations with the House of Republicans require a spending cut next year and it will allow unlimited federal borrowing in the year 2025.
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Since Biden took office in the year 2021 the national debt increased to $4.7 trillion. In the present year 2023, the government of the US spent $1.16 trillion more than what the Biden administration predicted budget.
Many of the mainstream outlets point out that because of the emergency spending related to the Covid-19 pandemic, it increased the tax revenue. When the pandemic hit the US their national debt increased by $2 trillion a year earlier.
Even though the Covid-19 emergency has ended, the federal persistently spend high value estimated at $6.3 trillion in the current year. The Treasury Department expects that the government will spend more than by the year 2025 and this will continue by the year 2028.
While the president bragged about the budget deficit, most people see that it drop as a reflection of lower spending and higher tax revenues.
Former President Trump’s administration criticized the Republicans for abandoning the House-passed plan.
READ ALSO: Fox News
