Opinion: It would take a 50% hike in income tax to fund our deficit
The projected total U.S. debt will be $30 trillion within 10 years, using the Congressional Budget Office’s own numbers. But the CBO also makes the rosy assumptions that there will be no recessions and that gross domestic product will grow at a 4% nominal rate.
Now, that’s possible; I’m inclined to haircut it a bit.
If you asked me to bet the “over/under” on the debt in 2027, I would bet the over at $35 trillion.
PG View: Mauldin concludes that Social Security becomes “impossible” under such a debt load. My big concern would be the dollar. The only way to service a national debt of this scale would be to severely devalue the dollar and the way to protect against that is to buy gold.