alt Hacker NewsWhen I actually look at the data, a lot of US deficit growth came from several specific shocks, with inconsistent years of recovery.
- 9/11
- Iraq War
- Covid
The US did recover a bit deficit-wise in Obama years, but have not reset the fiscal picture from Covid.
Replies
epistasis • yesterday at 3:54 PM
What does debt pressure have to do with this? That is an unconnected topic, and not a threat to treasuries.
The plunge around 2001 wasn't caused by 9/11, and was orchestrated a bit before. Since Clinton managed to cut a lot of spending (both due to his governance and global economics) and reduce some tax avoidance schemes, the US budget had a surplus, so the Bush admin implemented a lot of tax cuts. 9/11 and the following wars didn't had any positive impact, but without the Bush tax cuts, the US budget would still have a surplus in 2003 before the Iraq war