9 How long would it take to pay off the national debt How wo

9. How long would it take to pay off the national debt? How would the economy be affected?

Solution

Debt is the natural result of our current method of creating money through private banks. In order to survive, under a debt based system there needs to be growth.  Estimating the time it will take to pay off the national debt depends on future revenues and expenses--not just the current amount owed. If expenditures are productive--that is, they grow the economy and generate better-paying jobs, then tax revenues will rise faster.

Achieving meaningful debt reduction will require a comprehensive plan that addresses the major drivers of our debt. Reforming the tax code, slowing the growth of entitlement spending and reducing other spending, and helping to grow the economy are all necessary to put debt on a downward path over the long term.

The effects of the national debt on the economy are far from abstract. High levels of federal debt will cause: