The world is facing an unprecedented $91 trillion government debt crisis, nearly equivalent to the global economy’s size. This massive debt, partly due to pandemic-related costs, threatens living standards even in wealthy nations like the United States. Despite warnings from the International Monetary Fund and growing investor concerns, politicians worldwide are largely avoiding addressing the issue, especially in election years. The situation is leading to increased market anxiety, with investors demanding higher yields on government bonds. This crisis may necessitate difficult decisions regarding tax increases and spending cuts, potentially impacting economic stability and risking a new financial crisis if left unaddressed.
