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The 40 trillion Federal deficit. Why we have it in part.
Posted on 8/21/26 at 8:47 pm
Posted on 8/21/26 at 8:47 pm
I believe the biggest part of it is because the annual trade deficit we’ve had since 1976.
The overall United States international trade deficit in 2025 was $901.1 billion, representing a minor 0.2% decrease from $903.2 billion in 2024 according to official U.S. Bureau of Economic Analysis (BEA) data.
You can’t have that much money leaving the country every year and not cause problems.
The overall United States international trade deficit in 2025 was $901.1 billion, representing a minor 0.2% decrease from $903.2 billion in 2024 according to official U.S. Bureau of Economic Analysis (BEA) data.
You can’t have that much money leaving the country every year and not cause problems.
13
Posted on 8/21/26 at 8:50 pm to Cycledude
quote:
I believe the biggest part of it is because the annual trade deficit we’ve had since 1976.
quote:
The 40 trillion Federal deficit. Why we have it in part.
Please don't ever vote
Posted on 8/21/26 at 8:52 pm to Cycledude
We have it because nobody making it worse will ever have to deal with the consequences of it.
Posted on 8/21/26 at 8:54 pm to Cycledude
Our politicians don't care, they buy votes and we have a uniparty system.
Posted on 8/21/26 at 9:17 pm to UltimaParadox
This is sadly true. They argue in front of the cameras then eat dinner together laughing at us at Capital grill while we pay for it.
To reduce the deficit, you have to cut spending, and that means entitlement programs, and we live in an entitlement and "save me government" society now.
To reduce the deficit, you have to cut spending, and that means entitlement programs, and we live in an entitlement and "save me government" society now.
Posted on 8/21/26 at 9:21 pm to kywildcatfanone
quote:
and that means entitlement programs
Or bullshite "wars" in the Middle East like our current "America first" President is involved in
Posted on 8/21/26 at 9:48 pm to Cycledude
The national debt is $40 trillion. The deficit is how much more we spend than we take in annually. The main reason for both is that we spend more than we take in. The last president to have a zero deficit was Clinton.
Posted on 8/21/26 at 10:42 pm to Cycledude
Just cash your stimmies and buy another side by side baw. Paying debts for queers.
Posted on 8/21/26 at 10:56 pm to Mung
Mung, you’re right. I did a poor job of explaining what I meant. I’m saying I believe our government built up this huge debt is because of the U.S. annual trade deficits with other countries that we’ve had since 1976. If we hadn’t lost so much manufacturing, there would be more money staying here and circulating in our economy. This would drive up tax revenues helping the U.S. government towards balancing the budget.
Posted on 8/21/26 at 11:06 pm to Cycledude
We had a balanced budget until 9/11/01 (had surpluses from 1998–01). It grows each year no matter which party is in office or controls congress. Bin Laden seems to be winning the terror war from the grave.
This post was edited on 8/22/26 at 4:50 am
Posted on 8/21/26 at 11:36 pm to Cycledude
Trade deficits in themselves aren't a problem. Since the U.S. dollar is the worlds reserve currency, it basically guarantees a trade deficit. This is called the Triffin dillema.
The Triffin dillema says that the country with the dominant currency by default takes a hit to domestic manufacturing. This is because the dollar will always be artificially "strong" making our goods more expensive for foreigners to buy and their goods cheaper for us to buy
The U.S. has "privilege" because of our status as the world's reserve currency. It comes with a lot of perks other countries don't get, but it also means you are stuck being reliant on foreign manufacturing (because they can do it cheaper).
The Triffin dillema says that the country with the dominant currency by default takes a hit to domestic manufacturing. This is because the dollar will always be artificially "strong" making our goods more expensive for foreigners to buy and their goods cheaper for us to buy
The U.S. has "privilege" because of our status as the world's reserve currency. It comes with a lot of perks other countries don't get, but it also means you are stuck being reliant on foreign manufacturing (because they can do it cheaper).
Posted on 8/22/26 at 1:15 am to Mung
quote:
The last president to have a zero deficit was Clinton.
That was Gingrich.
Posted on 8/22/26 at 4:58 am to BamaSaint
quote:
Or bullshite "wars" in the Middle East like our current "America first" President is involved in
Exactly right!
War is just an excuse to print money because money is loaned into existence, they can never just print money without a borrower on the other side and
the borrower is always the US government.
The Ponzi scheme was set up long ago for perpetual borrowing and without it everything collapses.
Everything they pass on Capitol Hill is to borrow money into existence to keep the Ponzi going...
After the federal reserve act, the US government quit working for the people and instead worked directly for the federal reserve which owns our government lock stock and Barrel. This is the reason for everything....
Red and blue are only there as a divisive feature while they skim more and more money off of the people through inflation due to infinite borrowing (money printing that devalues the currency perpetually).
Ever wonder why the federal reserve chairman always wears a purple tie? Because he runs it ALL! Red & blue make purple!. Full Stop.
This post was edited on 8/22/26 at 5:13 am
Posted on 8/22/26 at 5:43 am to Cycledude
The Democrats gave 20 billion of it to illegals
Posted on 8/22/26 at 5:45 am to Cycledude
We have it because of the Boomers
Posted on 8/22/26 at 5:52 am to Cycledude
This would not solve the problem, but it would probably save $150 billion/year via Medicare. We do not let dementia patients die with dignity when they are ill. We have this “keep everyone alive at all costs mentality” and typically we do so for the sake of the family and not for the sake of the patient. Spending money for a patient’s benefit is priceless, but prolonging a slow death for a patient with no quality of life is awful.
Posted on 8/22/26 at 6:14 am to Cycledude
The problem will truly begin when the old, cheap 10 and 30 year bonds mature and the government has to service the same debt at current rates. Debt service will drastically go up (it’s already higher than our defense budget) and likely outpace nominal growth, and there won’t be much to be done about it. I think the end game is the issuance of a Treasury/Fed stablecoin.
Posted on 8/22/26 at 6:21 am to Cycledude
quote:
I believe the biggest part of it is because the annual trade deficit we’ve had since 1976.
Definitely nothing to do with all the money the last admin laundered through Ukraine...
Definitely nothing to do with the endless wars the past admins have launched.
For sure, nothing to do with the report showing that 2.7 trillion went into payments made in error.
Absolutely nothing to do with the welfare country we currently support with free housing, food, cell phones for perfectly abled bodies.
Posted on 8/22/26 at 8:15 am to TaderSalad
quote:
nothing to do with the report showing that 2.7 trillion went into payments made in error.
Got a link
Posted on 8/22/26 at 8:29 am to TaderSalad
You realize that 30% of that 40T is from Trump's time in office, right?
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