""The national debt at the end of next year will be a larger fraction of GDP than at any time since 1955.""
That is incorrect. Back in the early 90s federal debt as a % of GDP hit about 66%. Now it is more like 60%. Since GDP is growing dfaster than the accumlation of debt, the debt to GDP level has bee nfalling since 2003, after rising in 2001-02
"Paying that down will be a massive tax hike in the near future. Think 18% FICA, 45% top income bracket."
Since when has the USA ever paid down debt?
Federal debt at the end of the fiscal year as a percent of GDP, source Budget of the US Government 2007
2000 58.0 2001 57.4 2002 59.7 2003 62.6 2004 63.7 2005 64.3 2006 66.1 (estimate) 2007 67.5 (estimate)
Since when has the USA ever paid down debt?
The federal debt shrunk relative to the GDP from 1958-1967, 1969-1970, 1972-1975, 1977-1980, and 1997-2001.