Essay On Federal Budget

717 Words3 Pages
The government needs to take more caution creating the federal budget. Edwards stated that “Consider Canada's experience. In the mid-1990s, the federal government faced a debt crisis caused by overspending, which is similar to America's current situation. But the Canadian government reversed course and slashed spending from 23 percent of GDP in 1993, to 17 percent by 2000, to just 15 percent today. The Canadian economy did not sink into a recession from the cuts as Keynesians would have expected but instead grew strongly during the 1990s and 2000s."
Since the early 1950's Americans have had trouble controlling overspending. The United States government has engaged in deficit spending. This occurs when spending exceeds the amount of income
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Growing spending and debt are undermining economic growth and may push the nation into a financial crisis in coming years. Edward then stated that the solution to these problems is to downsize every federal department by cutting the most harmful programs. This study proposes specific cuts that would reduce federal spending by almost one-quarter and balance the budget in less than a decade."
In my opinion, I think he is right. If we reduce spending on Medicare, Medicaid, and social security and look into the defense expenses and reduced some of the spendings in some of the programs such as unnecessary equipment, submarines from the total spending of 4.4 trillion. These are the programs that make up the largest percentage compared to the other programs such as education, international aid, and foreign aid when the government cuts some of the programs mentioned above, it will help balance the budget.
Cutting down individual taxes will generate more employment and will help generate more money, it will create more tax revenue, according to Mike DeBones, from “House Passes 2018 Budget, Taking a Crucial Step toward Tax Overhaul.” He states that “Our budget specifically paves the way for pro-growth tax reform that will reduce taxes for middle-class Americans and free up American businesses to grow and hire,” House Budget Committee Chairman Diane Black (R-Tenn.) said during floor debate Wednesday. I agree if the tax is
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