As the United States sees its debt continue to soar out of control, it would be prudent to take time to examine the results of such reckless spending. Just like any credit card, national debt carries with it the obligation for the debtor to pay interest. $14 trillion is an immense amount of debt, and it carries with it the burden of substantial interest payments. Last year alone the U.S. spent just under $413 billion paying off the interest on its loans.
A figure of $413 billion is a staggering amount, especially when you consider the fact that it does not even aid in paying down the debt—that $413 billion is only to pay off the interest on these loans. But many in Washington refuse to follow the first rule of holes, that is, stop digging!
As the spending continues to exceed revenues, the interest payment will only get larger and larger. Mark Steyn, writing for Maclean’s magazine, recently outlined some startling facts regarding the U.S. debt:
“By 2010, about half our debt was owned by foreigners, and somewhere over a quarter of that was held by the Chinese (officially).
“What does that mean? In 2010, the U.S. spent about $663 billion on its military, China about $78 billion. If the People’s Republic carries on buying American debt at the rate it has in recent times, then within a few years U.S. interest payment on that debt will be covering the entire cost of the Chinese armed forces. In 2010, the Pentagon issued an alarming report to Congress on Beijing’s massive military buildup, upgrading bombers, and an aircraft carrier research and development program intended to challenge U.S. dominance in the Pacific. What the report didn’t mention is who’s paying for it.”
Steyn goes on to reveal the answer: “Mr. and Mrs. America.” It is a sound biblical principle that “the borrower is servant to the lender” (Proverbs 22:7). The U.S. should be very mindful that the deeper it goes into debt, the more its resources will be redirected to those nations who hold that debt.
Long ago, God warned the people of ancient Israel that if they did not obey God and allow His principles to govern every facet of their lives, both individually and collectively, they would face dire consequences. He even told them, “You shall sow your seed in vain, for your enemies shall eat it” (Leviticus 26:16). As the Israelite-descended nations continue to drive themselves further and further into debt, it becomes easier to see how this scripture may be fulfilled in the future. Foreign nations could even demand food stocks as payment on debt in the event that the U.S. and its allies cannot meet their financial obligations.
One fact remains clear—an indebted nation cannot remain in a position of power. For far too long, the U.S. has mocked God by referring to itself as “one nation under God” while ignoring His laws—including His laws that govern finance. It is sobering to realize that the U.S. will in one breath warn of another nation’s military buildup, and in the next raise its own debt ceiling, allowing China to buy up even more American debt—and in the future to receive even more interest payments to fund its growing military!
Students of the Bible will recognize that the U.S., Canada, England and the rest of the Israelite nations are headed for some very tough times. These nations are very unlikely to follow the path to national prosperity, true repentance leading to change. Their destiny is foretold in the Bible, as explained in our free booklet, The United States and Great Britain in Prophecy.
While many nations continue to live far beyond their means, you personally can still practice the sound financial principles outlined in the Bible. Please take the time to read the informative Tomorrow’s World magazine article, “Financial Security and Blessings,” and learn how to put these principles into effect in your life.