By SPEAKIN’ OUT NEWS
WASHINGTON, D.C. — The U.S. national debt surged past $38 trillion this week, marking the fastest jump in borrowing outside of the COVID-19 pandemic and deepening the strain of a federal government shutdown that has left thousands of Americans uncertain about their next paycheck.
Economists warn that the country’s rapid borrowing has reached a tipping point. “This is the fastest accumulation of debt in modern history outside a national crisis,” said Dr. Michael Lund of the Congressional Budget Office. “The U.S. is essentially borrowing to keep the lights on.”
Alabama’s Federal Footprint at Risk
In Alabama, where more than 70,000 residents work for the federal government, the shutdown and rising debt are hitting close to home. The state’s economy depends heavily on federal spending through defense, aerospace, agriculture, and public service programs.
- Redstone Arsenal in Huntsville faces delays for key defense and NASA contracts.
- Maxwell Air Force Base in Montgomery has furloughed civilian workers.
- USDA and VA offices statewide are seeing slowed benefits and farm program approvals.
- Tuskegee and rural Alabama rely on grants, housing, and nutrition programs that are now at risk.
These disruptions ripple across communities, affecting small businesses, veterans, and working families who depend on federal support. Local economists warn that continued gridlock could slow economic growth and delay billions in funding vital to Alabama’s infrastructure and workforce.
Political Fallout
The milestone has also ignited political debate across Alabama. Republican congressional candidate Case Dixon criticized incumbent U.S. Rep. Gary Palmer (R–Alabama) and party leaders for failing to rein in spending.
“When I began my campaign earlier this year, the national debt was about $36.2 trillion,” Dixon said Wednesday. “In just a few months, Washington has added nearly $2 trillion more. That’s not sustainable—and it’s a sign of how disconnected our leaders have become from the everyday reality families are facing.”
“Runaway spending drives inflation, weakens the dollar, and eats away at the value of every paycheck,” Dixon added. “Yet both parties in Washington continue to ignore the problem because cutting spending isn’t politically popular.”