The new US debt in 2018 is the highest since the recession

The federal government will issue more than $ 1,300 billion of debt in 2018, according to a new estimate released Monday by the Treasury Department, the highest total debt ever recorded since the depths of the Great Recession:

• Total marketable securities issued in the fourth quarter are expected to reach $ 425 billion, according to the Treasury report.
• This will bring total debt issued in 2018 to $ 1.348 billion, the highest level since the $ 1.5 trillion issuance in 2010.
• The debt issue in 2018 also rose 146% over 2017, when only $ 546 billion had been issued.

These figures come after the Treasury announced in early October that the budget deficit for the 2018 fiscal year (from October 2017 to September) had reached $ 779 billion, an increase of 17% over the previous year. 39, the previous year and its highest level since 2012.

The deficit is expected to be close to $ 1 trillion for the 2019 fiscal year and will overshadow the $ 1 trillion mark over the next four years, according to official estimates from the Trump administration.

The burgeoning debt burden is mainly the result of recently passed legislation, including the GOP tax reform law and the bipartite fiscal agreement.

According to the Treasury, federal revenue growth has been slow during fiscal 2018, mainly due to a decline in corporate tax revenues. The GOP law is expected to add $ 1.5 trillion of debt over the next 10 years. At the same time, the increase in expenditure resulting from the budget agreement has led to an increase in overall expenditure.

Recently, Republican leaders, including members of the Trump administration, have pointed to the growing deficit as an example of the need to reduce benefit programs such as Medicare and Social Security.

Democrats, on the other hand, want to reverse some of the GOP's tax law provisions to increase revenues and reduce the gap.

According to early polls, most Americans would prefer Congress to settle the deficit and debt by canceling the cuts in tax legislation rather than reducing spending on rights.