Story perspectives

Bessent Says U.S. Can Grow Out of $40T Debt

8/22/2026

Left

Bessent: Growth Solution

U.S. Treasury Secretary Scott Bessent said on Thursday the United States can grow its way out of $40 trillion debt.
Vice President JD Vance blamed the Biden administration, citing a committee that Trump approved $8.4 trillion versus Biden’s $4.3 trillion in borrowing.
Bessent told CNBC’s Sara Eisen there’s “nothing magic” about $40 trillion and growth can lower debt.
He added administration will end refunds and reinstate tariffs, expecting 2026 income to equal 2025.

Right

Bessent: Growth Plan

U.S. Treasury Secretary Scott Bessent told Thursday that the United States can grow its way out of the $40 trillion national debt.
President Donald Trump backs a discreet plan aimed at making growth outpace the debt.
Bessent noted $32.27 trillion of debt is held by public, with the rest in intra-governmental holdings.
Supreme Court-ordered tariff refunds created temporary debt, the Treasury Secretary warned after an emergency-tariff ruling.

Center

Bessent: Growth

Treasury Secretary Scott Bessent said on Thursday that the United States can grow its way out of the $40 trillion national debt.
Vice President JD Vance said the Treasury Secretary’s plan is a discreet strategy backed by President Donald Trump to outpace the debt with growth.
Temporary tariff refunds—including $100 billion from a Supreme Court ruling and $600 million to Amazon—inflate debt.

Blindspot

The Committee for a Responsible Federal Budget reported that former President Trump approved $8.4 trillion of new ten-year borrowing, while President Biden approved $4.3 trillion.
Within this story's sources, this angle appears mainly in Left-leaning coverage and receives less attention in Center-leaning coverage.

History

Historical Context

In December 1985 President Ronald Reagan signed the Gramm-Rudman-Hollings Act, which the House passed 271-154 and the Senate 61-31, imposing automatic cuts to force deficit reduction. The law’s sequestration trigger was declared unconstitutional in Bowsher v. Synar, and Congress replaced it with the 1990 Budget Enforcement Act’s PAYGO system, a mechanism that still shapes today’s debt-reduction discussions.

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Bessent: Growth Solution

U.S. Treasury Secretary Scott Bessent said on Thursday the United States can grow its way out of $40 trillion debt.
Vice President JD Vance blamed the Biden administration, citing a committee that Trump approved $8.4 trillion versus Biden’s $4.3 trillion in borrowing.
Bessent told CNBC’s Sara Eisen there’s “nothing magic” about $40 trillion and growth can lower debt.
He added administration will end refunds and reinstate tariffs, expecting 2026 income to equal 2025.

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