In a previous post, I provided a graph of the total amount of U.S. debt held by the public. It is helpful in these days of debt concerns to know exactly who owns the debt.
Not all of the debt is held by people outside of the country; quite a bit is held by U.S. citizens or U.S. entities. For example, contributions to the Civil Service Retirement and Disability Fund are deposited in the Treasury (current income to the United States) and the Treasury provides the Fund with a nonmarketable Treasury security (obligation to repay the Fund in the future).
I’m getting the feeling that the GOP has created a false tempest to fulfill its plan to collapse government spending drastically. Sadly, groups like Third Way aid the GOP plans by fueling the hysteria (with Ivy League words and misleading PowerPoint slides).