What makes the $4 trillion of debt added by Biden so financially reckless is that in a rational world, we should be running balanced budgets and even surpluses. The chart below shows the historical chart of federal debt since the founding of our nation. After every war and crisis – the Revolutionary War, the War of 1812, the Civil War, World War I, the Great Depression, World War II, and the Cold War, the debt burden fell rapidly.
Biden didn’t inherit a crisis. He inherited a recovery. The Covid crisis was over. The vaccine was just being widely distributed and in the last six months of 2020, the economy was in a rapid economic recovery.
This may be the first time in history that a president ran up the debt in a full-fledged recovery. The irony, of course, is that government spending doesn’t stimulate the economy – it stimulates the government– so Biden’s economic strategy plunged the U.S. back into recession.
If Joe – and Pelosi and Schumer – had simply done nothing, and left the Trump economic policies in place, the economy would be booming.