Will annual U.S. debt interest payments exceed 20% of federal budget revenue by 2028?
Basic
5
479
2028
39%
chance

Description:

This market predicts whether the interest payments on the U.S. national debt will exceed 20% of the federal budget revenue by the year 2029.

Context: The U.S. federal budget includes various expenditures, with interest payments on the national debt being a significant component. As the national debt grows and interest rates fluctuate, the proportion of the budget allocated to interest payments can change.

Key Factors:

  1. National Debt Levels: The total amount of debt held by the U.S. government.

  2. Interest Rates: Rates at which the government borrows money, influenced by Federal Reserve policies and global economic conditions.

  3. Federal Revenue: The total income the government receives, primarily from taxes.

  4. Economic Growth: Higher economic growth can increase federal revenue, potentially reducing the proportion of budget spent on interest.

  5. Fiscal Policies: Government decisions on spending and taxation which can impact both revenue and debt levels.

Why This Matters: If interest payments consume a larger share of the budget, it could limit the government's ability to fund other priorities such as defense, healthcare, and social programs. It also reflects the sustainability of the government's fiscal policies.

Participants should consider current trends in debt accumulation, interest rates, and federal revenue growth when making their predictions.

Get Ṁ600 play money
Sort by:

https://fiscaldata.treasury.gov/americas-finance-guide/federal-spending/
official US data will be used to determine the resolution.
at the moment the debt interest payments are at 13% of federal budget revenue.