America's $40T debt: how it borrows

Despite the U.S. public debt surpassing the $40 trillion mark to reach approximately $40.18 trillion at the beginning of this month, the American government still maintains the ability to pay salaries, continue purchasing Treasury bonds, and prevent the collapse of the dollar. This is due to America's capacity to borrow more without the risk of bankruptcy, thanks to its ability to print dollars. However, increasing debt raises interest costs and reduces spending options, potentially posing a long-term threat if debt service costs continue to grow and markets lose confidence in the country's ability to repay.

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