Elon Musk and Peter Schiff warn of dire consequences if U.S. debt is not tackled.

From Yahoo Finance: 2025-06-19 14:31:00

Billionaire Elon Musk warns of dire consequences as U.S. debt surpasses $37 trillion, with interest payments now consuming 25% of all tax revenue. If this trend continues, all tax revenues may go towards servicing the national debt, leaving nothing for other expenses. Economist Peter Schiff predicts a future where debt servicing costs exceed total tax revenue, leading to runaway inflation. Last month, Deutsche Bank’s Jim Reid cautioned of gradual erosion of confidence if the fiscal situation is not rectified. Musk criticizes GOP’s Budget Reconciliation Bill for its tax cuts and excessive spending, labeling it a “disgusting abomination.”



Read more at Yahoo Finance: Elon Musk Warns US Faces ‘De Facto’ Bankruptcy If $37 Trillion Debt Not Tackled, Peter Schiff Says, ‘We Are Already Bankrupt’