U.S. national debt has surpassed $40 trillion for the first time, exceeding the annual GDP of $31 trillion. This marks the first time since World War II that the national debt-to-GDP ratio has exceeded 100%. The federal budget deficit is projected to reach $1.9 trillion in fiscal year 2026, accounting for 5.8% of GDP. Warren Buffett proposed in 2011 that the deficit crisis could be resolved "in five minutes" by legislating that all incumbent members of Congress would lose their eligibility for re-election if the deficit exceeded 3% of GDP. However, Yahoo Finance analysis points out that while this solution is mathematically feasible, it is politically difficult to achieve, as it would require lawmakers to vote for a law that could prevent their re-election. The article also mentions that the Donald Trump administration's policies, including tax cuts and increased military spending (the defense budget request for fiscal year 2027 increased to $1.5 trillion, a 42% rise from 2026), actually expanded the deficit.