Prediction: US Debt Crisis Looms

Status: Occurring

Prediction: “Annual Interest payments alone, threaten to eat us alive.”

Econovation, 2011

What Happened

America’s debt crisis is coming — interest payments will hit a trillion dollars a year, Mar 2018

interest is by far the fastest growing part of the budget.

In our latest nonpartisan¬†analysis, we found that interest payments will quadruple, topping $1 trillion per year in as little as a decade. That’s more than we will spend each year on the military or Medicaid, and as a share of the economy, it is the highest in history.

What’s Next?

We keep this up, lenders will demand higher rates for our riskier bonds. That could trigger a debt crisis, hyperinflation, and a recession/depression.

History is littered with economic collapses. We have the power not to become one of them, but our current leaders and political parties are not fit for the task.