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... restrict borrowing for businesses and consumers. Budget Constraints and Slower Economic Growth A significant portion of the federal budget goes toward debt servicing, which limits available funds for critical areas like infrastructure, education, and innovation. As debt obligations grow, long-term economic growth prospects may suffer since fewer resources are directed toward future development. Jerome Powell’s Statement and Potential Debt Reduction Measures Federal Reserve Chairman Jerome Powell has recently called the current level of national debt unsustainable, spurring discussions among economists and policymakers about ...

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