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Total U.S. Government Debt Hits $25 Trillion

1 10pcs/set New Elected USA President Donald Trump US Dollar Gold ...

The world is really the same except for one thing: the rise of private sectors. Yes, unless you have a strong private sector, you cannot readily  rise as a nation. This is the state of the United States: “The US Treasury seeks to borrow a record $3 trillion this quarter. The money is being used in large part to subsidize economic rescue efforts in the wake of the coronavirus pandemic. Total U.S. government debt now is near $25 trillion, with the current fiscal year’s deficit running at $744 billion.”

Massive stimulus to support the U.S. economy through the coronavirus crisis will cause the Treasury to borrow a record $3 trillion this quarter. The department on Monday announced the total, which is actually $2.999 trillion. “The increase in privately-held net marketable borrowing is primarily driven by the impact of the COVID-19 outbreak, including expenditures from new legislation to assist individuals and businesses, changes to tax receipts including the deferral of individual and business taxes from April – June until July, and an increase in the assumed end-of-June Treasury cash balance,” the department said in a statement.

Simply. The U.S. debt is now more than its GDP. Yet, it is the same America that is seen as the strongest nation economically. Of course,  S&P will send Nigeria to Ajegunle junkyard if Nigeria’s debt hits close to $500 billion. But can you blame the IMF, World Bank and S&P who preach the message of “thou shalt not rake in more debts in Abuja''? Not really: “Animal Farm”. With Amazon, Intel, Google, etc, few will ever believe that Amazon will collapse before them, and because they remain dominant, Washington DC is insured.

It's part of the benefits of playing in the big league, because you will always come out better than those in small leagues. Any sector that is doing well, the US will always have a category king there, so it doesn't matter whether Boeing or GM is experiencing bad times, there is Apple, Amazon or Google on the other side, so the balancing act continues...

Nigeria is not at that level, so even if the US devalues the dollar, it's a sort of blessing to Nigeria at the same time.

As always, whether in peace or war times, the small guy remains an endangered specie, that's how the world has been operating for ages.