Two Centuries of National Debt in One Year: Putting 2020 in Perspective
The comments below are an edited and abridged synopsis of an article by Daniel R. Amerman
The $4.5 trillion increase in the US national debt in 2020 was so large as to be almost incomprehensible for the average person. Yet every dollar of the new debt was entirely real. It will likely be with Americans for the rest of their lifetimes, and may profoundly change every aspect of their financial lives, including Social Security, Medicare, stock prices, the gold price, real estate prices and the value of retirement accounts.
This analysis uses historical comparisons to help put 2020 in perspective, and make more concrete and tangible what really happened last year. It also explores the underlying issues, and shows why the actual situation is even worse than most people realize.
Up for discussion: The stunning increase in America’s national debt; 217 years of debt in one year; taking inflation into account; just because it seems surreal doesn’t mean it’s not real; and that’s how it works…. until it doesn’t.