Source: Independent Institute
by Craig Eyerman
“The U.S. Treasury Department has been publishing its consolidated financial statements annually since 1997. In every single one, the U.S. government’s projected liabilities over the next 75 years from when the reports were published have outweighed the projected value of its assets. What has been true throughout these years, and also in 2026, is that the U.S. government doesn’t really face the risk of insolvency. To be insolvent, the U.S. government would have to have no way of paying its bills. If a business had a similar balance sheet, it would be headed to bankruptcy court. Unlike a business, the U.S. government has options. It can raise taxes. It can inflate the nation’s currency. It can use tools of financial repression to artificially lower its borrowing costs, making it seem more affordable. These are all things the U.S. government is already doing and has been for years” (04/17/26)