The Deficit is Not the Debt
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Reducing the U.S. deficit is praiseworthy. How was that accomplished in 2022?
Reducing the deficit is not the same as reducing the debt. U.S. debt continues to climb into the stratosphere. At $30 trillion, our debt is more than $95,000 per person. How will it be paid?
In his MLK speech, President Biden reiterated his accomplishment of reducing the federal deficit by more than $1 trillion. Reducing the deficit is indeed praiseworthy. What exactly did President Biden do?
A close look at deficit spending in the 2020s reveals that the deficit increased a lot in 2020 and 2021 due to $5 trillion in COVID spending. Then in 2022 not much was spent on COVID, so the deficit decreased. In other words, the president had little to do with the decrease in the deficit.
The deficit is not the debt
Many interpret the decrease in the deficit as a reduction in the national debt, but that’s far from the truth. Although the deficit declined in 2022, the national debt continued its monumental climb to more than $30 trillion.