How Fast is U.S Debt Increasing

09/29/2008 ——-9,945,578,231,981.59
10/21/2008 ——10,467,391,133,731.14

http://www.treasurydirect.gov/NP/BPDLogin?application=np
(enter dates for period you want debt figures from)
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We are on track for a $600 billion month or $7.2 trillion for the year. Now, there is no way that will continue for that long but, $3 trillion might be. Some say it will take that much for the bailout alone and add the new stimulus and other debt obligations for defense spending, FDIC needs, etc and this could really get nasty.

The FDIC has no money, only IOU’s and any covering of deposits requires the general fund borrow more to buy back the FDIC IOU’s since the general fund doesn’t have any surplus. We are at a point too, where tax revenues are falling and that will boost the need to borrow as well.

At the same time, the global economy is falling and that means less money to lend the U.S. Add falling oil prices and OPEC has less money to lend us. This is becoming a perfect storm of barriers to recovery.

Keep in mind that if this is a long recession, and they can convince foreign lending, we will never see the day we pay down debt without hyper-inflating out of it or defaulting on it. Congress has been warned for years they can’t tax or grow out of this mess and here we just added $1 trillion from Oct 1, 2007 to Sept 30, 2008 and are going to add trillions more this year to the debt.

Interest on debt alone will probably top $600 billion by the end of next year. Where are you going to get that much tax revenues in a recession?

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