Increased U.S. government spending on infrastructure and social programs could put upward pressure on inflation, prompting the Federal Reserve to adjust federal fund rates. Higher spending boosts demand, which can drive inflation, leading the Fed to raise interest rates to cool the economy. However, the Fed must balance this with concerns over the rising national debt, as higher rates could increase government borrowing costs. If inflation surges, expect tighter monetary policy, but if spending fosters economic growth without significant inflation, the Fed may hold rates steady. Overall, the Fed’s response will depend on inflation trends and economic conditions in the coming months.