US Primary budget deficit, Copilot explains

The primary budget deficit refers to the difference between government revenues and spending, excluding interest payments. 

It highlights the underlying structural imbalance between the money the U.S. government collects (mostly through taxes) and the cost of providing government services.

Over the past 50 years, the U.S. has run primary deficits averaging 1.7% of GDP, meaning that even without accounting for interest payments, federal spending has frequently outpaced revenues. 

According to projections, if current policies remain unchanged, annual non-interest spending will continue to exceed revenues by 2.1% of GDP ($7.9 trillion) over the next decade.

Higher interest rates and rising debt will likely increase interest payments, widening the gap between the primary and total deficit over time.

If the federal government cannot align its revenues and expenditures more closely, the national debt will continue to grow at an unsustainable rate.


Sveriges primära budgetöverskott

https://englundmacro.blogspot.com/2025/06/sveriges-primara-budgetoverskott.html


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