This Is How the National Debt Hits Your Wallet Every Day

Angela Kotsell / Getty Images/iStockphoto

US Loses Monetary Power

The combination of factors accompanying the rising national debt can all conspire to reduce American monetary power in the world. A rising debt load makes it seem less likely that the U.S. government will be able to afford its obligations, diminishing its financial reputation.

Increasing inflation, a falling dollar, a slowing economy and rising interest rates can all weaken the standing of the U.S. in the global financial ecosystem.

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