U.S. Lawmakers Sound Alarm as National Debt Surpasses $34 Trillion

A bipartisan group of U.S. lawmakers, including Senators Mitt Romney (Republican of Utah) and Joe Manchin (Democrat of West Virginia), along with Representatives Bill Huizenga (Republican of Michigan) and Scott Peters (Democrat of California), has expressed deep concern about the soaring national debt of the United States, labeling it the "greatest threat" to the nation.

Fiscal Peril Endangers American Dream

In an op-ed on The Hill, the lawmakers argue that the mounting national debt poses a significant risk to the American Dream, especially for younger generations. This comes as the U.S. national debt exceeds $34 trillion, rising by over $82 billion since January.

Unsustainable Debt Levels

The country's national debt has now surpassed $100,000 per citizen and $264,000 per taxpayer, with the official U.S. Federal budget deficit reaching $1.75 trillion. The lawmakers assert that the current pace of debt accumulation is unsustainable and demands urgent attention, marking it not merely an economic concern but the foremost threat the nation faces, "rapidly approaching the crisis point."

Bipartisan Fiscal Commission Proposal

To address this challenge, the lawmakers propose the formation of a bipartisan fiscal commission. This commission would comprehensively assess both spending and revenue sources in the federal budget, leaving no aspect unexplored. The objective is to enhance the country's fiscal health and significantly reduce the national debt.

Social Security on the Brink

Highlighting the gravity of the situation, the lawmakers warn that if the status quo persists, Social Security could become insolvent within a decade, leading to an automatic 24 percent cut in benefits.

Cryptocurrency and Gold as Hedges

In a related development, analysts suggest the U.S. may be entering a "debt death spiral," raising concerns about the Federal Reserve resorting to money printing, potentially causing a U.S. dollar crash. Christopher Wood of Jeffries notes that Bitcoin and gold serve as "critical hedges" against the return of inflation.

Global Debt Surge

Last year, the Institute of International Finance reported a global debt surge to a staggering $307 trillion, increasing by over $10 trillion in the first half of the year. Over the past decade, global debt has skyrocketed by a "staggering" $100 trillion, according to the IFF, a consortium representing major global banks and financial entities.

Summary:

U.S. lawmakers, in a bipartisan move, raise an urgent alarm as the national debt exceeds $34 trillion, declaring it the "greatest threat" to the nation. They propose a bipartisan fiscal commission to address the issue comprehensively. The escalating debt levels, reaching over $100,000 per citizen, pose a risk to Social Security and prompt concerns of a "debt death spiral." Analysts suggest Bitcoin and gold as crucial hedges against inflation. The global debt, reported by the Institute of International Finance, surges to a staggering $307 trillion, raising further economic concerns.