These situations have been going on for a long time. There is a Dicken's quote paraphrased as "Income 20 pounds, expenses 21 pounds and every day is misery and woe, income 20 pounds, expenses 19 pounds and each day is a joy".
People have been living beyond there means for a long time.
One thing that irritates me: In private industry if you don't do your job you are let go, sometimes immediately, sometimes not. But the politicians, whose job it is to create and pass a budget don't do it. Haven't done it for years. Even created a whole new calendar (the fiscal year) to give themselves more time and still fail. But we, their employers, keep rehiring them. Incumbents win the vast majority of the time. Those voting for these folks always explain that their representative is one of the good ones, that it is all of those other ones who are causing the problem.
If we aren't bright enough to put an end to this nonsense, we have no one but ourselves to blame.