US Faces Soaring Deficit: Cuts to Social Security and Medicaid Urged

The United States is grappling with a soaring deficit, prompting calls for significant cuts to Social Security and Medicaid. Experts argue that without addressing these major entitlement programs, any proposed solutions to the deficit will merely be noise.

As of September 2025, the national debt continues to rise, with liabilities indexed to inflation making it impossible for the U.S. to simply inflate its way out of the financial crisis. Analysts highlight that the escalating costs associated with entitlements are the primary drivers behind the current fiscal imbalance.

Historically, Social Security and Medicaid have been cornerstones of American social policy. However, as previously reported, the funds supporting these programs are dwindling, creating an urgent need for reform. In light of recent developments, some economists suggest that drastic measures may be necessary to stabilize the economy and restore fiscal health.

The implications of failing to address the deficit could be severe, potentially leading to increased borrowing costs and reduced investor confidence. As the situation unfolds, policymakers face mounting pressure to devise a sustainable plan that includes difficult discussions about entitlement reform.