What was the federal debt-to-GDP ratio in 2022?

In 2022, the federal debt-to-GDP ratio was approximately 0.78, which represents a significant measure of the government’s debt relative to the economy's overall output. This ratio is critical for assessing the federal government's fiscal health, as it indicates how manageable the debt is in relation to the nation's economic size.

A ratio of 0.78 implies that for every dollar of economic output, there is 78 cents of federal debt. This figure is important for understanding sustainability; ratios that are too high can lead to concerns about the government's ability to service its debt, which can affect interest rates and economic stability.

The choice of 0.78 is validated by various economic reports from government financial agencies that track and analyze these indicators. Understanding the implications of different debt-to-GDP ratios is crucial, as it helps inform fiscal policy decisions and predicted economic outcomes.