Ten Trillion and Counting

When analyzing the causes of a debt it is only logical to consider the spending patterns of the party that has acquired the debt. In 2014 social programs were a whopping 61% of all federal spending while national defense, general government and debt service, economic affairs and infrastructure, and public order and safety made up the remaining 39%. Government spending on social programs such as Medicare and Medicaid and Social Security make up a huge amount of the country’s overall spending, and in turn its debt. It is important to not only consider the actual national debt, but the theoretical amount that the U.S. government owes in regard to the country’s liabilities. At the close of the fiscal year in September 2015, the U.S. government owed an estimated $26.7 trillion in obligations to Social Security

The growing national deficit is a looming problem in the United States now more than ever. The national debt is constantly increasing and government spending is out of control. If these issues are not solved then they could spell disaster for the nation’s economy when the infamous debt ceiling is finally reached. Currently the national policy on the debt is to continue raising the debt limit until a solution is found that is agreeable between both parties in Congress. The two main issues of over spending and the constant raising of the debts ceiling by Congress can both be resolved by government spending reform, balancing the federal budget and initiating pro-growth policies in order to increase the government’s tax revenue.

The recent clash between the president and congress about raising the debt ceiling made the front page on every newspaper throughout the country and generated controversy of unimaginable proportion among the citizens of the United States of America (College for Financial Planning). No macroeconomics issue is more controversial today than the impact of large public debt on the economy and on future generations, but, however, there appears to be a huge disconnect between professional, political leaders, and the ordinary public about the national debt and its impact on the current and future

Many United States' citizens are unaware of the country's current financial state. Many assume that one of the world's wealthiest countries could never be in debt. This is untrue however, and, in fact, the country with the greatest income per capita is in major debt. This study will examine possible solutions to reducing the United States' national budget deficit.

Many believe the country's dramatic decent into debt began with a choice, not a crisis. In January of 2001, with the budget balanced, the Congressional Budget Office (CBO) forecast that the nation would have over a $2 trillion dollar surplus by 2010, enough money to pay off the entire national debt. In the years following 2001 political leaders chose to cut taxes, increase spending, and wage two wars solely with borrowed funds (Montgomery, 2011). Today the national debt is larger, as a percentage of the economy, than at any time in U.S. history except for the period shortly after World War II.

As we discussed and read about this week in our class, the topic of the US Budget and how, why and what should we do about it has become a topic with many views and opinions. The United States of America currently holds over 16 Trillion dollars in debt based on our governments spending practices for the last ten years. Two wars, numerous fiscal collapses and cliffs, a bubble popped housing market, looming medical care costs from a socialized healthcare law and a recession have caused the government to acquire enormous amounts of debt. This debt with caused by what seems to be from irresponsible spending on both the Legislative and the Executive Branches have done nothing to lessen this deficit. One idea that has been discussed not only in

Since the nation’s very beginning, it has carried a debt from the American Revolution. Only once in the entire U.S. history has been the debt zero, during President Andrew Jackson’s administration in the 1830’s. President Jackson set a budget like the other future and past presidents, but actually stayed within its parameters. However, the debt kept growing after his presidency and reached $18 trillion dollars today. The world has changed a lot since the 1830’s, the methods used during that period can no longer be the solution in 2015 because there are just too many factors that must be considered. The size and the population of the country have changed dramatically, foreign relationships are far more complicated and broader, and people’s expectations of the government are different.

Many Americans today are aware that the United States is in debt, however, some may not realize by how much. Currently, the United States National Debt is up to 18 trillion dollars and is steadily increasing. This is a serious problem for the U.S., especially for millennials, who are going to be the ones living and dealing with the debt left behind for them. Increased spending, borrowing from China, and interest on the money borrowed are setting up our economy for an eventual crash, one that the upcoming generation may not be prepared for. Every dollar that accumulates into the debt will have to be repaid with interest at some point, making it harder to pay back. To gain a better understanding of how the U.S. dug itself into such a deep hole, one should start at the beginning of where the debt started.

We hear about the debt almost every day: news talks about it, politicians argue about it, even President Obama gives speeches on it. So what is the significance behind it? In this article I am going to explain briefly what the national debt is, how big it is, and what it has to do with us.

Did you know that the government of the United States is 19.5 Trillion dollars in Federal debt? That’s an estimate of $55,700 of Federal debt for each man, woman and child in the country. Now because kids don’t pay taxes, the number is even higher, around $60,000 or more. But, what is it then that makes men, corporations and even entire nations to fall into this wretched hole called debt. That is what I will try explain some of the mistakes we commit the lead us into what seems an everlasting debt. I will look into a small amount of degree of some of the actions that get people into debt, such as credit cards and student loans.

The U.S. national debt is very large at more than three-quarters the size of the economy—and growing federal spending, especially on entitlements, is quickly driving the debt to damaging levels. Federal spending was about 23 percent of the GDP in 2012—far above the historical average of 20.2 percent. It is projected to surge to nearly 36 percent in less than one generation. The government debt must be limited in some way or else our economy will face devastating consequences. The government debt has had its highs and lows throughout history in comparison to the GDP, and to reduce it, we must minimize spending on entitlements such as Social Security and Medicare.

Debt is nothing new to the United States government. Ever since 1790 when Alexander Hamilton successfully convinced the congress to assume state debt the US has had a constant record of debt. This type of budget issue has been a constant leadership challenge to every US President. The Obama administration continues this trend of deficit and debt which has created the highest total federal debt in US history. . There are unique challenges and decisions every US President has had to make in regards to the budget and the economic success of the United States. Whether you agree or disagree with decisions made by President Obama there is a particular pressure that comes with trying to work across party lines to get support from those who disagree with his priorities. When President Obama entered office he took over a historically high debt and deficit during a time of an economic disaster. The new President inherited the challenge of balancing the budget and reducing debt while still spending to increase future economic growth. Though there are many aspects of concern regarding the federal budget, Obama’s main efforts coming into the White House were to increase tax revenue, by closing loopholes for the wealthy and adjusting previous tax measures, while reducing income inequality, increasing educational spending and providing universal health care.

If you’re like most citizens, you are probably unaware of how severe the debt crisis is for the United States of America. An eye-opening article titled “America’s Debt Time Bomb” by John F. Ince, points out the two components of the financial crisis in the United States: the national debt and the current account trade deficit. Current estimates of the rising national debt in America are upwards of $19 trillion, and growing by over a billion a day; severely increasing the chances of a major economic crisis. For instance,” to finance domestic deficits, American policy makers have started to engage in dangerous borrowing patterns from overseas lenders” discloses Ince. When America borrows, we give foreigners a claim to the financial assets

In this article the main topic is that the official total for the United States federal debt stands at $13.6 trillion. But this is only a small portion of the nation’s debt—the true figures are beyond stunning. According to the article these are “unfunded liabilities,” which in government terms refers to any program or expense that requires it to pay, but either does not bring in any money or enough to cover expenses. In the example of Medicare, the unfunded liability is the difference between the benefits promised to current and future recipients and what will be collected in taxes and Medicare premiums. Moreover, this article states that the financial problems

Throughout most of the country’s history, the United States’ federal government maintained a reasonable level of national debt. For example, the total national debt in 1981 was $998 billion. Since then, however, the government has generated significant budget deficits, and the level of debt has risen to $16.7 trillion in 2013 (Calleo, 39). Budget deficits are caused