The U.S. should implement significant fiscal reforms to reduce its national debt.

What's this about?

People disagree about whether the U.S. should make big budget changes to cut its national debt.

National debt means money the federal government owes.

What supporters say

• Under current plans, debt may grow faster than the whole U.S. economy.
• Large yearly budget gaps and rising interest costs could limit help during future crises.
• Social Security and Medicare may face money gaps, so early changes could avoid sudden cuts later.
• Leaders can use tax changes, spending cuts, health cost steps, and program changes together.

What critics say

• Fast, broad budget cuts could hurt jobs, pay, and the wider economy.
• Quick changes could place too much pain on people with low incomes, older people, or sick people.
• Debt forecasts cannot tell the future with full certainty, so a crisis may not happen soon.
• High interest costs cause real strain, but they do not prove an instant debt crisis will occur.

The bottom line

The evidence supports major budget changes to slow debt growth over time.

The best plan would phase changes in slowly and fairly, not use sudden deep cuts.