We are to blame for the national debt crisis
Perhaps it’s time to look in the mirror before we look to D.C.?
Under President Joe Biden and his absurd inflationary policies — even under the oxymoronic banner of the Inflation Reduction Act — and President Donald Trump’s spasmodic and even vindictive tariff obsession, the cost of living continues to rise while the federal government continues to drag the American people into what feels like insurmountable debt.
Thanks to a decades-long spending spree that would put even the most dedicated shopaholic to shame, the United States national debt — according to the ever-depressing US Debt Clock — has reached $38.3 trillion dollars and counting, amounting to a debt-per-citizen of $111,443 and a debt-per-taxpayer of $329,022, let alone being 121% of the country’s GDP.
Yes, our debt is larger than the entire American economy, with interest on this mountain of chaos rising well above $968 billion annually, outpaced only by defense, social security, and Medicare/Medicaid on the federal budget item list.
Make no mistake: the country is blissfully drifting towards a cliff, and the fury of every single American should be far harder to suppress than nonsensical promises of $2,000 tariff-payback checks.
But could it also be true that the federal government — rather than being out-of-control in isolation — actually mirrors our society? A society that is also drowning in debt?
According to the Federal Reserve Bank of New York, in the third quarter of 2025, total household debt hit $18.59 trillion. Mortgage balances grew by $137 billion to a total of $13.07 trillion, balances on home equity lines of credit rose by $11 billion, with $422 billion in outstanding balances. Credit card debt rose by $24 billion and now sits at $1.23 trillion, with a further $1.66 trillion in auto loan debt. Add another $550 billion in further debt (including retail cards and consumer finance loans) and $1.65 trillion of student loan balances, the American people are buried by two mounds of debt: one built by the federal government, and one we made ourselves.
In our political environment, people living “paycheck to paycheck” are routinely referenced as proof of the economic struggles caused by the party in charge. But while there are many reasons for the real economic difficulties facing millions of Americans — with many of these reasons being completely out of their control — is it not also a problem that paychecks are used as a gauge for the exact amount of spending each person can afford?
Seen as an upper limit, people do everything they can to squeeze as much spending out of their paycheck every week, fortnight, or month, leveraging credit cards, car loans, and perhaps even 50-year mortgages to get a monthly payment that squeaks below their limit, with no view for the interest-laden consequences tomorrow.
And we’re surprised that the federal government is playing fast and loose with just another credit card?
It’s time to pump the brakes as a country, and understand that $1.65 trillion in student loan debt means that students can’t afford their college decisions; $1.23 trillion in credit card debt means that shoppers can’t afford their purchases; $1.66 trillion in auto loan debt means you can’t afford that car; and $18.59 trillion in mortgage debt means that Americans can’t afford their homes.
And as millions of Americans default on these absurd loans, perhaps it’s time to look in the mirror before we look to D.C.?
Read the rest of my latest column for Washington Examiner here.