The race for the presidency in 2024 has concluded, and Donald Trump has returned to the White House. Wall Street is buzzing with activity, as both the Dow and S&P indices rejoice, indicating investor optimism about Trump’s impact on the economy.

Even amid these celebrations, a formidable challenge looms before us: the growing burden of the nation’s debt and deficit. Regardless of the election outcome, the current trajectory spells trouble for all unless we initiate a change in course.

The United States now grapples with a staggering debt exceeding $35.88 trillion, a figure almost inconceivable in magnitude. To put this in perspective, this amount of money stacked in hundred dollar bills would reach a height nearly equivalent to the Earth’s circumference, extending over 24 thousand miles. The federal deficit for the year 2024 alone has surpassed $1.83 trillion.

For years, we have operated as though we have an endless credit card, irresponsibly passing on the financial burdens to future generations. We have spent recklessly, akin to sailors with unrestricted access to credit, leaving upcoming generations to face the repercussions of our extravagant behavior.

Interestingly, Donald Trump had addressed this specific issue in 1999. In his book “The America We Deserve,” Trump proposed strategies to put the country on a more sustainable fiscal path. While his suggestions at the time were flawed, they underscored the urgent need for fiscal policy reform. It is worth noting that back then, the national debt was under $6 billion, and the nation was anticipating a period of deficit surpluses.

Now, in his second term, Trump finds himself in a unique position to tackle the looming debt crisis. Freed from typical political constraints such as reelection concerns or donors’ demands, he possesses the freedom to make tough decisions that others might avoid. Trump is renowned for his willingness to take controversial actions, which could enable him to confront this critical issue head-on.

Addressing the debt crisis will demand sacrifices, including modifications to the tax code, spending reductions, and reforms to entitlement programs, among other measures. Such changes are likely to face resistance and criticism, but they are imperative for the nation’s long-term financial stability.

In the current era of extreme political polarization, discussions on these matters are scarce among politicians. This is precisely why Trump may be well-positioned to navigate and implement these challenging decisions. His willingness to challenge norms and disrupt the status quo could prove vital in steering the country towards a sustainable economic future.

Ultimately, Trump’s success in addressing the debt and deficit crisis will define the significance of his electoral triumph. Failure to take bold action now could lead the nation down a path of economic unpredictability. Trump holds both the opportunity and responsibility to guide the country away from this impending cliff. The hope remains that he will courageously undertake this task.

Jeff Hoopes, a respected professor and the Thomas Willis Lambeth Distinguished Chair in Public Policy at the University of North Carolina, serves as the research director of the UNC Tax Center. He is a certified public accountant registered in the State of Colorado.