Leveraging AI to Reduce the U.S. National Debt

Leveraging Innovation for Fiscal Responsibility and Economic Resilience

The United States faces a $37.5 trillion national debt that threatens long-term economic stability, weakens future growth, and risks crowding out investments in healthcare, infrastructure, and climate resilience. This policy outlines how artificial intelligence can serve as a transformative tool for debt reduction—optimizing government spending, enhancing tax collection, improving economic forecasting, streamlining social programs, and increasing transparency. By leveraging AI responsibly, the U.S. can begin to reverse unsustainable fiscal trends while strengthening public trust and safeguarding future generations.

    • Smarter spending: Use AI to identify waste, inefficiency, and duplication in federal programs and procurement.

    • Fairer tax system: Detect tax evasion patterns with AI, ensuring compliance while protecting low-income households.

    • Real-time forecasting: Apply AI-driven economic models for proactive, data-informed fiscal adjustments.

    • Efficient social services: Automate fraud detection and eligibility checks to cut costs while improving delivery.

    • Transparency & accountability: Deploy AI and blockchain to track public spending and build taxpayer confidence.

    • Climate-smart revenue: Leverage AI to design carbon taxes and green bonds that both reduce emissions and generate new revenue streams.

  • Government

    • AI-enabled auditing and budgeting tools to reduce unnecessary expenditures.

    • More accurate debt management strategies, including optimized debt buybacks.

    • Transparent fiscal dashboards accessible to policymakers and the public.

    Private Sector

    • Expanded role in Public-Private Partnerships, especially in green energy and infrastructure projects supported by AI insights.

    • Opportunities for innovation in AI tools that support compliance, fraud detection, and fiscal management.

    Citizens

    • Assurance that public money is used more efficiently and fairly.

    • Reduced long-term risks of inflation, economic stagnation, and intergenerational debt burden.

    • Greater trust in government through transparent, AI-enhanced fiscal systems.

  • Next 5 years

    • Stabilize the debt-to-GDP ratio by reducing inefficiencies and boosting compliance through AI-driven tools.

    • Pilot AI-driven tax compliance and fraud detection programs.

    10 years

    • Reduce the debt-to-GDP ratio meaningfully through sustained AI-enabled reforms in tax collection, healthcare costs, and infrastructure planning.

    • Scale climate-smart revenue mechanisms like carbon pricing and green bonds.

    20 years

    • Achieve sustainable debt levels with reduced interest burdens, stronger growth, and high public trust in fiscal governance.

    • Reduction in annual deficit as % of GDP.

    • Increase in federal revenue collected through AI-enabled compliance measures.

    • Decrease in program inefficiencies and fraud identified by AI audits.

    • Growth in renewable energy and climate-smart revenue streams.

    • Public trust indices in fiscal transparency.

  • This framework is derived from Kevin Bihan-Poudec’s ongoing policy advocacy and ChatGPT research. It builds specifically on the research “Leveraging Artificial Intelligence to Address the U.S. $35 Trillion National Debt”, available here:

    Read the full ChatGPT research

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