What do coronavirus and the national debt have in common? The answer is China. Due in part to secrecy and poor management in China, suddenly the world confronts a major pandemic. We’re reminded how interconnected our world is and how vulnerable we are to China.
Perhaps this is a reason to take the national debt more seriously. China owns approximately 5 percent of our debt and some surprise there could have a major economic effect on the US. It could be the next housing bubble and we are woefully unprepared.
A recent report by the Congressional Budget Office says our debt will equal 98% of the nation’s total economic output by 2030. President Trump promised to eliminate the deficit in 8 years but what we’ve seen is a nearly 50 percent increase.
Let’s tell Washington to take the debt seriously and beware a bad surprise.