US borrowing exceeds GDP: What does it mean for the economy? | This Is America

For the first time since World War II, the United States national debt has exceeded the size of its economy.
Now standing at around $39tn, decades of deficit spending have pushed borrowing to historic levels.
The government is spending about $1tn a year just on interest payments.
Economists warn the debt trajectory is unsustainable, with projections showing it will continue to rise.
Higher borrowing costs are already affecting Americans through mortgages and loans.
There are also concerns that global investors could lose confidence in US debt markets.
If that happens, it could trigger a financial crisis with far-reaching consequences.
So, how serious is the risk, and can Washington bring the debt under control?

Presenter: Cyril Venier

Guests:

Nicholas Loris — Economist
Jeff Ferry — Chief Economist Emeritus at Coalition for a Prosperous America
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