What causes public debt?

Public debt is primarily caused by government borrowing to finance budget deficits, which occur when expenditures exceed revenues. Factors contributing to this imbalance include increased government spending on social programs, infrastructure, and public services, as well as reduced tax revenues due to economic downturns or tax cuts. Additionally, external pressures such as economic crises, wars, or natural disasters can necessitate increased borrowing. Over time, accumulated deficits lead to higher levels of public debt.