The bill signed by Trump recently is only boosting the US economy in the short term as it is boosting the growth of the total size of the US GDP by 0.8% though the US debt level is already so high. Congress is enacting tax and spending legislation and still continues to extend more policies.
There is huge spending in the near future which is causing deficits as I see it, with deficits reaching $1trillion in the current or next fiscal year double what the congressional budget office had projected less than a year ago for 2018. The US debt being projected to rise from $20.5 trillion today to an unprecedented $29.9 trillion in 2028.. over 100% of projected GDP well into the danger zone. This debt is going to kill the American economy. These debts have been historically low for years but are now going up and may continue to rise for some time. America is heading for a looming disaster of deficits and debt which is the Banana republic status Goldman is talking about.
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