[Deathstar 80]

I became curious on how much we would have to cut spending in order to not face a national credit rating downgrade.

To my understanding, both Moody's Investors Service and S&P will downgrade our national credit rating unless we pay off our national debt by $4 trillion in the next decade.

I haven't done much research on this, but I think our country currently receives $2 trillion of total revenue each year. However, we spend $3.6 trillion each year. If we cut government spending alone, we would have to cut $2 trillion each year just to pay off $4 trillion of our national debt in the next decade. That's not including interest from our national debt. This would be a significant cut since we would be spending $1.6 trillion on our country rather than $3.6 trillion for each year. I personally have no idea if raising taxes would help us more or not, but it does look like our national credit rating is going to be downgraded.

If our nation's credit rating is downgraded, I think that is the equivalent of an individual having a great credit rating and then having their credit rating lowered. That individual will have to pay more when they use their credit card. For our nation, we will have to pay back more when we borrow money.

I think this is the correct information. If anyone finds anything about this, please correct me.

*EDIT*: By the way, if we keep spending money like we have been, then the people who allow our country to borrow money might refuse to let us borrow any money if they get the idea that we might not pay them back. This would force us to cut spending. I've also heard that those who let our country borrow money might sell their bonds, but I personally don't know how that works, but I have heard that it will collapse our economy.