Budget Wars : Debt And Sequestration

Good Essays
Nicole Betts
Budget Wars
Debt and Sequestration in the United States

The United States has adopted a persona of uncontrollable spending policies, and short term solutions. As the spending trajectory continues in a downward spiral, fueled by unsustainable policies, and current tax revenues, the national debt continues to grow. For many years, the United States has implemented policies that failed to address mandatory spending costs, which, unfortunately continue to outpace the national economy. Furthermore, Congress has created a habit of introducing short term solutions in order to confront a long term issue of national debt. Although, there are many driving forces behind the U.S. fiscal problem, mandatory spending
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First of all, the BCA began reductions on spending through the installment of strict caps on discretionary spending programs. These caps are anticipated to reduce federal spending by $841 billion by 2025.
Furthermore, in 2011, the BCA created a “Super Committee”, otherwise known as the Congressional Joint Select Committee on Deficit Reduction. This committee was made up of 12 Congress members, 6 of which or Democratic, and 6 who are Republican. The members were instructed to cut an additional $1.5 trillion from the nation budget. Interestingly, the bill stipulated that if the committee was unable to come to agreeance with Congress by December 23rd, there would be automatic across the board cuts, this process became known as sequestration. This procedure is simply the governments’ formula to cut $1.2 trillion from spending programs. Interestingly, sequestration does not promote equal cuts to each program, instead various amounts are withdrawn from each category. For example, in 2013 sequestration cut , 5.1% from Domestic Discretionary spending , 7.6% from defense, 2.% from Medicare, and 5.2% from other areas. Interestingly, Social Security food stamps, and a number of other mandatory programs remain exempt from sequestration.

Government Spending
Congress creates a budget by each fiscal year which divides funding into mandatory, and discretionary spending programs. Discretionary spending is implemented through appropriation
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