Friday, August 4, 2017

Another Swamper agrees to the large interest charge

Office of Management and Budget director Mick Mulvaney told reporters Thursday that he supports a clean increase for the debt ceiling, rather than including spending cuts or other riders in legislation to hike the debt limit.

Look at interest payments rising faster as debt increases.

The red line rising since 2015 is interest payments. The blue line is debt as a percent GDP, which jumps.

When they consent to the new charges, the debt to gdp will jump again and interest payment continue to rise. But we see the payment rise at 10% a year, six times the inflation rate.  

Those rising costs are a larger budget increase than any other program. Taxes cannot keep up.

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