The U.S. is in the Hole. Will We Stop Digging?
Summary
Hosts Katherine and Robin revisit a 2025 episode on the US national debt, noting it has since surpassed $40 trillion. They analyze debt-to-GDP ratios, credit downgrades, and the impact of tax cuts versus spending, arguing that debt trajectory matters more than absolute size. The discussion covers Modern Monetary Theory, the neutrality of government debt, and why fiscal policy choices, not economic limits, drive current concerns.
Topics discussed
Introduction and listener support
Retcons: Bankruptcy, maternal mortality, and childcare
Recent US credit rating downgrades
History of US national debt and deficits
Why debt-to-GDP thresholds are misleading
Ineffectiveness of recent tax cuts
Rising interest payments and bond yields
Modern Monetary Theory and inflation risks
Finding optimism in debt trajectory
Political will and future fiscal responsibility
Listener comments and spiritual sponsors
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