Is the United States in a fiscal talespin | Number Theory

How bad is the US fiscal trajectory? What does the future outlook look like? Here are four charts which answer this question

Days after Moody’s downgraded its credit rating for US from AAA to AA1, the International Monetary Fund (IMF) has flagged what it sees as the “ever increasing” debt burden of the world’s largest economy. “The US fiscal deficits are too large and they need to be brought down,” Gita Gopinath, IMF’s first deputy managing director, told the Financial Times. While IMF has been known for making critical observations about the fiscal health of smaller economies, especially those outside the advanced economy realm, its remarks about fiscal health of the US are clearly out of the ordinary. How bad is the US fiscal trajectory? What does the future outlook look like? Here are four charts which answer this question.

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