Quote:
Originally Posted by Ben Franklin
"Yes, debt has to be repaid when it comes due. But maturing debt can be replaced with newly issued debt. Rolling over the debt in this manner means that it need never be “paid back.” Indeed, it may even grow over time in line with the scale of the economy’s operations as measured by population or GDP."
Source:
Does the National Debt Matter?| St. Louis Fed |
Yes, the debt can be replaced with new debt, as long as the U.S. has a good credit rating. But, at some point, a bad credit rating will prevent the debt from being replaced, or the interest rate will greatly increase, creating even more debt, and eventual economic collapse.