The American debt exceeds 38 trillion dollars for the first time in history
October 23, 202597 ViewsRead Time: 2 minutes

Font Size:
16
Data from the U.S. Department of the Treasury revealed that the national debt of the United States has surpassed 38 trillion dollars, a historical precedent that came faster than official expectations. The debt increased by about 2.18 trillion dollars in just one year, after it had crossed the 37 trillion dollar mark in August 2025.
Worrisome acceleration and economic repercussions
The Associated Press noted that this increase represents the fastest growth rate of debt since the COVID-19 pandemic, amid warnings about its implications for financial stability. Experts attribute this acceleration to the disruption of federal government operations and increased unfunded spending.
Warnings of inflation and declining purchasing power
Professor Kent Smetters from the University of Pennsylvania warned that the continued accumulation of debt will lead to rising inflation and erosion of the purchasing power of American households, emphasizing that this will make it difficult for future generations to achieve financial stability or own homes.
Direct impact on citizens' lives
For its part, the U.S. Government Accountability Office (GAO) clarified that the rising debt reflects on citizens through increased interest rates on loans and mortgages, alongside slowing wage growth and rising living costs.
Warning of a "new warning indicator"
Michael Peterson, head of the Peter G. Peterson Foundation, described reaching this level of debt amid government paralysis as a "new warning signal," considering that decision-makers are not fulfilling their basic financial responsibilities.
Darker forecasts
According to a report by CBS News, it is expected that interest payments on the national debt will jump from 4 trillion to 14 trillion dollars over the next decade, which could reduce spending on vital economic sectors and increase pressure on the federal budget.