U.S. and Utah Debt Policy

Utah's bonded indebtedness. which incurs debt solely for capital expenses, stands in sharp contrast to that of the United States. Federal government debt as a percent of the U.S. economy, currently at over 120% of Gross Domestic Product (GDP), has raised serious concerns about future economic stability. The debate over federal debt policy and borrowing has recently been exacerbated by a looming deadline to raise the national debt ceiling to avoid default.

Gardner Institute Chief Economist Phil Dean and Scholar-in-Residence Dr. Mike Christensen were joined at the May 2023 Newsmaker Breakfast by former Utah State Treasurer David Damschen and Utah Governor's Office of Planning and Budget Chief Economist Dr. Robbi Foxxe to discuss the history of Utah and U.S. debt policy, how and why Utah's borrowing practices contrast with the federal government, and how the future of debt may impact economic well-being.