Tag

Fiscal Policy

All articles tagged with #fiscal policy

opinion1 day ago•4 min saved

Band-Aid Fixes Won't Heal the Treasury Market's Deep Wounds

The FT View argues that Scott Bessent's Treasury-market interventions are temporary bandages that fail to fix the deeper causes of market fragility: persistent deficits and inflation. While these moves may momentarily calm sentiment (e.g., supporting long‑dated bonds or currencies), they do not address credibility or debt levels. A sustainable cure requires credible fiscal restraint—aiming for deficits around 3% of GDP and longer-horizon debt management—because, without that, interventions will offer limited relief to long‑term yields and the world’s premier bond market will remain exposed to cyclical pressures.

via Financial Times|

#debt-sustainability #fiscal-policy #market-interventions

economy1 day ago•4 min saved

Treasury Could Fund Bigger Bond Buybacks With Near-$1 Trillion Cash Reserve

Treasury officials say the near-$1 trillion General Account (TGA) could be used to back larger long‑term bond buybacks, potentially influencing yields; the plan would rely on discretionary cash and selling short-term bills, though specifics and market impact remain uncertain amid skepticism about the operation’s effectiveness.

via CNBC|

#bond-buybacks #economy #fiscal-policy

economic-policy3 days ago•19 min saved

Debt crosses $40 trillion as Washington faces hard fiscal choices

America's national debt has surged past $40 trillion as chronic deficits keep the government borrowing, and a bond-market sell-off signals higher borrowing costs ahead; with political will fractured, lawmakers face unpalatable choices on taxes and spending as elections loom, raising fears of a debt spiral if reforms stall.

via The Washington Post|

#economic-policy #fiscal-policy #government-budget-deficits

economy4 days ago•2 min saved

US Debt Reaches $40 Trillion, Framed by Four Contextual Charts

The U.S. national debt has topped $40 trillion, up from about $5.8 trillion in 2000, equating to roughly $116,800 per American. The article uses four charts to illustrate overall growth, how debt has risen under different presidents, the history of deficits vs. surpluses (the last surplus was in 2001), and a visualization comparing $1 trillion to median household income to convey scale. It notes pandemic-related spending as a major driver, with the largest dollar increase occurring during Biden’s term, while the debt’s path reflects years of spending and revenue gaps across recent administrations.

via KOCO|

#debt #deficits #economy

economy4 days ago•2 min saved

US national debt crosses $40 trillion, with charts outlining its rise

US debt has topped $40 trillion, up from about $5.8 trillion in 2000 (roughly $116,800 per American) and has grown nearly 600% since 2000; four charts show the rise, how deficits and spending evolved under Obama, Trump and Biden (Trump up 39.1% in his term, Biden up 30.5%), and the largest dollar increase of $8.45 trillion during Biden’s presidency, with the last federal surplus in 2001 and a graphic comparing $1 trillion to median household income.

via WCVB|

#deficits #economy #fiscal-policy

business5 days ago•9 min saved

U.S. Debt Hits $40 Trillion Milestone as Borrowing Accelerates

The U.S. national debt has surpassed $40 trillion, more than doubling since 2016, driven by ongoing deficits under two administrations and rising interest costs. The Congressional Budget Office projects debt could reach about $64 trillion by 2036, with debt-to-GDP around 126%. Bond yields have climbed, boosting borrowing costs, and the Treasury plans larger long-term debt buybacks to provide liquidity. The situation underscores daunting future interest payments and the potential for policy shocks if deficits persist.

via BBC|

#bond-yields #business #debt-ceiling

economy6 days ago•40 min saved

US debt crosses $40 trillion earlier than analysts expected

The U.S. national debt surpassed $40 trillion per the Treasury, reaching the milestone months sooner than forecasters expected, in part due to lost revenue from invalidated tariffs. The debt ceiling sits at about $41.1 trillion and is expected to be reached early next year, a development that has spooked markets as investors dump Treasuries amid higher borrowing costs.

via The Washington Post|

#debt-ceiling #economy #fiscal-policy

economy13 days ago•11 min saved

Tariff Shortfall Pushes 2026 Deficit to $2.1 Trillion

A Congressional Budget Office forecast shows the 2026 federal deficit rising to about $2.1 trillion, roughly $200 billion above February’s estimate, largely due to weaker tariff revenue after the Supreme Court struck down Trump-era tariffs. Tariff and customs receipts are now expected about $250 billion below earlier projections, with about $100 billion of collected tariff duties already refunded. In the first 10 months of fiscal 2026 the deficit was $1.8 trillion as outlays grew $308 billion and revenues rose $139 billion, aided by a July payment shift; spending on Social Security, Medicare and Medicaid accounted for most of the increase, and net interest payments rose by $117 billion, prompting economists to warn that borrowing could exceed $2 trillion this year.

via Mediaite|

#cbo #deficit #economy

world17 days ago•23 min saved

The Iran war’s price tag keeps rising

As the U.S. nears six months in its war with Iran, taxpayers and consumers are feeling the financial strain: billions spent by the Pentagon and an economist’s estimate that the typical household could pay about $1,000 more, with energy costs rising from supply disruptions and Hormuz tensions; lawmakers debate funding while munition shortages and broader global price impacts loom.

via The Washington Post|

#fiscal-policy #inflation #iran-nation

economic-policy22 days ago•18 min saved

Senate sprint to avert shutdown as GOP rushes budget, nominees and Iran-war aid

Senate Republicans are racing to pass a stopgap spending bill to avert a government shutdown ahead of the midterm elections, while also moving a package to fund the Iran war and inflation-battered farmers, and pushing to confirm 74 nominees and advance votes on Russia sanctions and a cryptocurrency bill before leaving town.

via The Washington Post|

#economic-policy #fiscal-policy #government-budgets

economy1 month ago•5 min saved

2033 Social Security cliff could cost newly retired couples about $16,900 a year

If Congress does nothing, Social Security trust funds are projected to run dry by end of 2032, triggering a roughly 22% annual benefit cut in 2033 that could mean about $16,900 less per year for newly retired couples. Medicare Part A is also expected to face about an 11% cut around 2033, while Parts B and D premiums rise, increasing out-of-pocket costs. Lawmakers have proposed various options (raising payroll taxes, lifting the benefit cap, extending the retirement age, and creating a bipartisan advisory board), but no consensus has emerged to shore up funding.

via USA Today|

#congress #economy #fiscal-policy

national1 month ago•11 min saved

US Deficit Surges to $1.4 Trillion in FY2026 Nine Months In

Nine months into FY2026, the U.S. deficit reached about $1.4 trillion as outlays ($5.5 trillion) surpassed receipts ($4.2 trillion). Most of the shortfall stems from entitlement programs (Social Security, Medicare, Medicaid) and reduced corporate tax revenue tied to policy changes, while individual taxes rose. The debt surpassed 100% of GDP and interest payments neared $1 trillion, prompting calls for entitlement reform and a bipartisan plan to restore fiscal sustainability.

via The Center Square|

#cbo #debt #deficit

opinion1 month ago•17 min saved

Bipartisan push emerges to shore up Social Security security

An editorial argues Social Security’s reserves could run out by 2032, risking a 22% cut in benefits unless reforms are enacted. It highlights means-testing as a promising bipartisan fix, backed by a Ronald Reagan Foundation survey showing broad public support across parties and high earners. While details would spark debate, the piece contends a coalition could implement means-testing to stabilize the program and avert disaster.

via San Diego Union-Tribune|

#bipartisan #fiscal-policy #means-testing

politics2 months ago•5 min saved

UK Chancellor Watch: Streeting, Miliband and Others Vie for the Treasury

With Sir Keir Starmer’s resignation and Andy Burnham expected to push for a new direction, the hunt for a next UK chancellor centers on a slate of candidates including Wes Streeting (bookies’ favorite) and Ed Miliband (second favorite), with Pat McFadden seen as the safest hands and Yvette Cooper as a compromise option. Rachel Reeves could stay, though that’s unlikely, while longshots like Shabana Mahmood, John Healey, Darren Jones and Torsten Bell are also mentioned. The choice will shape how the government tackles high debt, weak growth, welfare reform, defence spending and the economic fallout from global conflicts, with markets weighing the candidate’s ability to deliver a coherent, market-friendly strategy.

via BBC|

#british-economy #chancellor #fiscal-policy

economy2 months ago•12 min saved

Social Security’s 2032 Crunch: What a Funding Cliff Means for Future Retirees

A new Social Security trustees report projects the program’s trust fund will be exhausted by 2032, meaning revenues could cover only about 78% of scheduled benefits and retirees could face roughly a 22% across-the-board reduction unless Congress acts. The warning stems from long-term pressures—fewer births, slower workforce growth, reduced immigration, high debt, and policy changes from a 2025 tax bill—combined with an aging population. The piece argues reform will require bipartisan action sooner rather than later to avoid sharper cuts and economic pain.

via The Conversation|

#demographics #economy #fiscal-policy