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Plain English with Derek Thompson

Does Anybody Know How to Solve an American Debt Crisis?

Plain English with Derek Thompson

The Ringer

News Commentary, News

4.72.1K Ratings

🗓️ 19 May 2026

⏱️ 60 minutes

🧾️ Download transcript

Summary

On his 40th birthday, Derek Thompson takes a step back and looks at how his thinking on the national debt has changed. Back when he first covered fiscal policy, concern about government borrowing was mostly a conservative position, with many liberals arguing it was overblown. That’s starting to shift. The U.S. now spends far more than it brings in, and the gap is still growing. For the first time, interest payments on the debt have surpassed military spending. And deficits that once rose during crises like the Great Recession and the COVID pandemic haven’t really come back down. So what changed, and how worried should we be? Derek is joined by economist Justin Wolfers to walk through the basics of the federal budget, the evolving debate around the national debt, and why more economists are starting to take persistent deficits seriously. Host: Derek Thompson Guest: Justin Wolfers Producer: Devon Baroldi Additional Production Support: Ben Glicksman Visit https://www.uber.com/safety to learn more. Learn more about your ad choices. Visit podcastchoices.com/adchoices

Transcript

Click on a timestamp to play from that location

0:00.0

Some follow the noise.

0:07.0

Bloomberg follows the money, because behind every headline is a bottom line.

0:14.0

Whether it's the funds fueling AI or crypto's trillion dollar swings, there's a money side to every story.

0:22.0

And when you see the money side, you understand what others miss.

0:26.3

Get the money side of the story.

0:28.4

Subscribe now at Bloomberg.com.

0:33.9

So it's my birthday today.

0:37.0

I'm 40 years old.

0:38.3

And birthdays like this, the ones divisible by 10, I guess,

0:41.3

really force a person to do some existential reflection.

0:44.3

Like, how have I changed since I was 30, 20?

0:47.3

And maybe partly because I'd share a birthday

0:50.3

with my first college roommate, shout out Matt.

0:52.3

I was thinking about my life recently

0:54.5

right after I graduated from college. As a 23-year-old writer at the Atlantic, it was my day job

1:01.0

to blog about economics, and in particular to blog about that famously delicious and click-bady

1:06.6

topic of fiscal policy. That is how the U.S. taxes and spends money. This was, believe it or not,

1:14.4

one of the biggest stories in the country, if you don't remember. At the time, there was a

1:18.4

huge debate about the U.S. debt, how much we should worry about it. Typically, the debate broke

1:23.6

down by ideology. It was conservatives and libertarians who told us to worry about the debt,

1:28.1

and it was liberals who criticized conservatives and libertarians for freaking out about nothing and

1:32.3

using debt fears as a smokescreen to cut spending on seniors and poor people. But 15 years later,

...

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