How Will Rising Federal Debt Impact the Markets and the Economy?

15/08/2024 14 min
How Will Rising Federal Debt Impact the Markets and the Economy?

Listen "How Will Rising Federal Debt Impact the Markets and the Economy?"

Episode Synopsis

Season 10 Episode 09

Deficit spending is not at all a new phenomenon in the United States. In fact, it is the norm, and the U.S. has run a budget deficit in 81 of the last 95 years, or 85% of the time since 1929. What is abnormal, however, is how large the pile of U.S. debt has grown relative to the broader economy. With the election quickly approaching, and last year’s debt ceiling and downgrade drama still fresh in investors’ minds, we often get asked, “How will rising federal debt impact the markets and the economy?”
Brandon Hall, Research Analyst, poses this question to Dr. David Kelly, Chief Global Strategist for J.P. Morgan Asset Management.