Growing Federal Debt Will Crowd Out Fiscal Spending

Federal Interest Expense will crowd out fiscal spending at the current pace of U.S. spending.

If you believe the Federal Government ought to spend tax receipts to boost the U.S. economy (I believe the Federal Government should not impose an income tax on people nor companies, implement a Sales tax instead), there are fewer disposable Dollars to go around.

An increasing percentage of Federal Tax Receipts will be allocated toward paying down Federal interest expense, unless of course the Fed takes rates much lower.

If you subscribe to the premium version of TEK2day you will have access to the Excel file that contains our assumptions (access Excel file below the chart and table).

Source: TEK2day