What I’m about to write is something Alexander Hamilton would not like. News of the gross federal debt of the United States, toppling $33 trillion came about less than 2 weeks before the announcement of a possible government shutdown. The threat of a government shutdown came about due to a potential lack of funding authorization. A government shutdown is when nonessential offices can’t remain open due to a lack of funding. The last United States government shutdown was in 2019, when then-President Trump and congressional Democrats entered a standoff concerning the issue of building a U.S. / Mexico border wall. Currently, Congress has decided not to tackle the issue of funding the government properly, and has kicked the can down the road until Thanksgiving. The debt the U.S. has consists of operating expenses that were borrowed by the federal government. This is something our government has become too good at.

What caused the increase in national debt? Firstly, 50 years for poor monetary policy. More recently, according to the Treasury Department, the COVID-19 pandemic played a big role in the dramatic increase in spending. With the extensive unemployment during the pandemic, tax cuts, stimulus programs, etc., the federal government was pushed to spend more money than ever. The issue has resulted in various opinions emerging from both Democrats and Republicans. Democratic President Joe Biden’s program, the Inflation Reduction Act, is being supported by Democrats. According to the University of Pennsylvania’s Penn Wharton budget model, the act is believed to cost more than $1 trillion. However, Republican lawmakers want to push for less spending. Far-right Republicans released their own short-term funding bill. They aimed to have support from the GOP to pass in a floor vote. A floor vote is when there is a vote to recommit a bill to a committee. The bill was never expected to pass the Senate, as it is largely Democrat-controlled.

The rising U.S. debt is an issue that needs to be addressed, because it affects the future of the American economy. To get a sense of just how much debt the United States is in, the economies of India, Germany, Japan, China, and the United Kingdom amount to roughly $33 trillion. With the Republicans and Democrats varying opinions, September 30th is serving as a reminder that something needs to be done to keep the government operating. Looks like we will be in the same situation come Thanksgiving when the next shutdown looms.