Debt and Deficits

The U.S. federal government has been habitually spending more money than it receives in taxes, running federal budget deficits every year but 5 since 1969. The federal debt, which is the accumulation of these deficits over time, can pose risks to the U.S. economy. But, in times of economic distress, a rising debt might be needed to buffer the economy. Our posts cover whether debt should be cause for concern; welfare spending and the federal budget; state and local finance; and the impact of COVID on public finance, among others.