The "time bomb" of the American economy.

VTV.vn - In just two months since total debt reached $37 trillion in August 2025, the United States has borrowed an additional $1 trillion, raising the total public debt to $38 trillion.

The US national debt is increasing at an average rate of $69,713.82 per second over the past year.

While the federal government remains shut down, the total national debt of the United States surpassed $38 trillion on October 22 (local time) – a record high reflecting an unprecedented rate of debt growth outside of the COVID-19 pandemic.

According to Treasury data, in just two months since total debt reached $37 trillion in August 2025, the United States borrowed an additional $1 trillion, raising the total public debt to $38 trillion.

Previously, according to a statement in January 2025 by Senator Rand Paul, Chairman of the Senate Homeland Security Committee, on average during the pandemic period, the time when the most money was spent – ​​including the eight years under two US Presidents, Donald Trump and Joe Biden – the US national debt increased by $1 trillion every six months.

Inflation and borrowing costs will increase.

Kent Smetters, a professor of economics at the University of Pennsylvania and a former Treasury official under President George W. Bush, said that the growing burden of public debt will lead to higher inflation over time, eroding the purchasing power of Americans.

According to the Government Accountability Office (GAO), rising public debt leads to several negative consequences, such as higher borrowing costs for items like home or car loans, lower wages due to businesses having less investment capital, and higher prices for goods and services.

Smetters observed: “Many Americans worry about their children and grandchildren – whether future generations will be able to afford a home. As inflation mounts over time, consumer purchasing power erodes, and the dream of home ownership becomes increasingly distant.”

Meanwhile, the Trump administration continues to assert that the new fiscal policies are helping to reduce government spending and narrow the massive budget deficit. An internal Treasury report indicates that the cumulative deficit for the period from April to September 2025 was $468 billion, the lowest level since 2019.

According to the Joint Economic Committee of Congress, the U.S. national debt has been increasing at an average rate of $69,713.82 per second over the past year.

Interest payments: A ticking time bomb for the US economy.

Michael Peterson, president of the Peter G. Peterson Foundation, commented: “The fact that public debt reached $38 trillion while the government was shut down is a worrying sign that lawmakers have failed to fulfill their basic fiscal responsibilities.”

According to Peterson, interest payments are currently the fastest-growing component of the national budget: “Over the past ten years, the United States has spent $4 trillion on interest, but in the next 10 years that number will reach $14 trillion. Interest costs are ‘swallowing up’ crucial investments in the future, harming the economy of every citizen.”

The debt crisis shows no sign of stopping.

In less than two years, the US public debt has increased by more than $4 trillion. Specifically, in January 2024: $34 trillion; in July 2024: $35 trillion; in November 2024: $36 trillion; in August 2025: $37 trillion; and in October 2025: $38 trillion.

Experts warn that without strong spending controls, the United States will soon face a "public debt bomb," threatening its global financial standing and investor confidence in the US dollar, the world's reserve currency.

Source: https://vtv.vn/qua-bom-hen-gio-cua-kinh-te-my-100251024090725935.htm