The U.S. budget deficit for fiscal 2009 is already close to $1 trillion, which is the biggest in history.

Expenditures for economic relief programs and government bailout programs aimed at getting out of this recession have lead to record deficit levels. Read the full story

The US government recently announced intentions to spend another trillion dollars to buy up long term government bonds and toxic assets. The last economic stimulus package cost $787 billion. Plus, the government has pledged trillions more for various other programs in an attempt to pull the economy out of this recession and avoid a depression.

We are going to have to borrow trillions of dollars just to meet these new obligations. America is already in debt over $11 trillion. And this year’s deficit is now projected to soar past $1.8 trillion, or 13% of the entire economy. Read the full story

The U.S. government is going to have to print up trillions of dollars worth of new money in an attempt to break out of this economic crisis. This excess supply of currency in circulation is going to lead to demand-pull inflation. Demand-pull inflation is described as too much money chasing too few goods.

The U.S. government is heavily in debt to the tune of over $11 trillion. How will we pay this back? We will certainly not default on our debt anytime soon. It’s possible that the government could simply inflate its way out of this mess, so essentially the biggest debt ever amassed could be paid back with almost worthless dollars. Read the full story