Chapter 9: U.S. Debt Management & Fiscal Responsibility
Section 9.1: Debt Ceiling Adjustment
Policy:
- Raise the debt ceiling to cover obligations through FY2027 (e.g., by $5–6 trillion).
- Establish automatic caps on future increases unless tied to deficit reduction.
- Implement mandatory congressional review of debt ceiling every 2 years.
Timeframe: Immediate (upon passage)
Section 9.2: Deficit Reduction Measures
Proposed Cuts:
- 5–10% discretionary spending reduction over 3 years (excluding defense & veterans).
- Review and streamline federal agencies (downsizing non-essential bureaucracies).
- Introduce mandatory audits of major programs (Medicare, Medicaid, Pentagon).
Estimated Savings: $1.5–2.5 trillion over 10 years
Section 9.3: Spending Offsets & Revenue Enhancements
- Cap growth of entitlement programs (Social Security & Medicare) to inflation + 1%.
- Close certain tax loopholes (e.g., corporate offshore tax shelters).
- Introduce tariff surcharges on trade partners violating U.S. interests (e.g., China).
- Encourage onshoring of U.S. industries via tax incentives.
Goal: Reduce borrowing needs by $500–750 billion/year
Section 9.4: National Debt Payment Schedule
| Fiscal Year |
Estimated Public Debt |
Projected Interest Payments |
Policy Target |
| 2025 |
$35 trillion |
$1.2 trillion |
Freeze net new borrowing |
| 2026 |
$36.8 trillion |
$1.3 trillion |
Cut deficit by $250B |
| 2027 |
$38 trillion |
$1.4 trillion |
Balance budget (discretionary) |
| 2028 |
$38.5 trillion |
$1.45 trillion |
Begin gradual debt reduction |
Note: These figures are illustrative based on Congressional Budget Office (CBO) projections and Trump-aligned fiscal rhetoric.
Section 9.5: America First Bond Program (Optional)
New Proposal:
- Offer patriotic, low-risk savings bonds to U.S. citizens to fund infrastructure and debt.
- Interest: 3.5–4%, fixed for 10 years.
- Cap: $25,000 per citizen per year.
Section 9.6: Balanced Budget Amendment Push
- Require Congress to pursue a constitutional amendment mandating a balanced federal budget (with emergency exceptions).
- Trump has endorsed this idea in various rallies and platforms, though it would require state ratification.
Summary of Fiscal Goals (2025–2030)
| Metric |
Goal by 2030 |
| National Debt |
Stabilize below $40T |
| Deficit |
Reduced to <$250B |
| Interest as % of GDP |
UnderEAD0Under 2.5% |
| Entitlement Growth |
Limited to inflation |