US debt payments will soon exceed military spending

YAHOO / BATTLE FOR WORLD – November 14, 2018: The article highlights that the U.S.’ debt is skyrocketing and soon the country will spend more on servicing its debt than it will on national defense – and shortly after will spend more on its debt than on all nondefense discretionary programs combined.

And that while America’s debt has skyrocketed, low inflation and international demand for Treasury bonds has held down interest costs, but with the U.S. Federal Reserve hiking interest rates that is expected to change. As the Fed is hiking interest rates as inflation has percolated higher – higher interest rates will translate into higher debt payments.

The Wall Street Journal reported citing data from the Congressional Budget Office (CBO), that the U.S. will spend more on interest than it spends on Medicaid in 2020, and in 2023 interest spending will exceed national defense spending, and by 2025 it will spend more on interest than on all nondefense discretionary programs combined. Wow!

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