The Federal Government issues treasury bonds to cover the USA's Federal debt. The interest is owed to the people who bought these t-bills, which are individuals, pension funds, companies, etc who want a low risk bond.
Ok, but I don't get why. It makes no sense to sell debt and then pay it back with interest. I don't understand how it ever became acceptable to run a country with a budget deficit. Budgets should be set based on yearly income period.
Ever tried telling boomer voters no because sovereign debt is theft? 97% of them will vote against you.
Don't get me started on boomers. They are the dumbest most self entitled fucks on the planet. They got theirs and fuck everyone that comes after them. Nearly all of them have a story about how they started at the bottom and worked their way up.
They got to enjoy cheap houses, a single income family and safe neighborhoods.