For as long as people can remember, the United States has been in debt. Every presidents have tried to reduce our country debt. Some presidents have brought the debt down while others have watch it rise. Many people here in America are starting to wonder whether or not our country will ever be economically stable, or continued to be further in debt. This essay is about the efforts that previous Congress member and presidents have done to reduce the budget deficit. Since the United States has become the United States we have been in debt. According to our textbooks a deficit is defined as “the amount by which the federal government’s expenditures exceed its revenues in a given year (the fiscal year, which runs from October 1 to September 30).”(Amacher & Pate, 2012, Chapter 10.1)
A concern that American face today is that the United Sates is in debt. Since 1985 Congress and the president have been trying to fix the national debt. According to the text a national debt is “is the cumulative total of all past budget deficits minus all past surpluses. It is the amount owed to lenders by the federal government.”(Amacher & Pate, 2012, Chapter 10.1) Between 1985 and today Congress and the president have tried many different ways to reduce the budget deficit. In order to create a budget deal it takes time and work. Some of the factors involved to get a budget deal is that the President first has to propose a budget plan to Congress.
In order for the President to propose a plan he must look at the federal deficit. Once he take a look at the federal deficit then he must sit down and talk with Congress. Once the President has talk with Congress then Congress will negotiate or compromise a plan that they think is good for the deficit and talk with the President. Once the President and Congress both have come to an agreement them the budget plan have ben established. In 1985 Congress tried to use several statutory budget controls were enacted to reduce the budget deficit. One of the budget control was the “Balanced Budget and Emergency Deficit Control Act of 1985 and the Budget Enforcement Act of 1990.”(Lynch, 2011, p. 4) The Balanced Budget and Emergency Deficit Control Act of 1985 was design to limit not just new legislation, but also the effects of enacted revenue and spending laws.
The Essay on Assignment Efforts To Reduce The Budget Deficit
Efforts to Reduce the Budget Deficit. The rapid growth of the national debt alarmed some politicians and created pressure for restricting Congress’s unlimited ability to spend. After reviewing Chapter 10, Section 10.2: Efforts to Reduce the Deficit, write a 2-3 page paper, formatted according to APA style as outlined in your approved style guide, discussing the actions taken by the Congress ...
“By the early 1980s, the growing deficit had begun to cause concern. The deficit for fiscal year (FY) 1982 was $128 billion or 4% of gross domestic product (GDP), and for FY1983 was $208 billion or 6% of GDP, whereas the average deficit for the prior five years had been approximately $61 billion or 2.5% of GDP.2 The deficit for FY1985 had grown to $212 billion or 5.1% of GDP.”(Lynch, 2011, p. 4) Although the Balanced Budget and Emergency Deficit Control Act of 1985 was put in place to limit the spending and tried to reduce the deficit it also was a problem. The problem was that this act did not say what policy should be made to reduce the budget deficit. Since the Balanced Budget and Emergency Deficit Control Act of 1985 did not say what policy should be made to reduce the budget deficit. Congress decided to pass another act that gave guide line to what policy should be made in order to reduce the budget deficit.
This act was called the Balanced Budget and Emergency Deficit Control Reaffirmation Act of 1987. “The 1987 Reaffirmation Act rectified the problem left by the invalidated sequestration mechanism by instead using a report submitted by the director of OMB as the trigger for the President’s sequestration order for FY1988-FY1993.”(Lynch, 2011, p. 9) Even though the Reaffirmation Act of 1987 had guidelines to what policy should be made to reduce the budget deficit there were still some issues. So in 1990 Congress decided to pass the Budget Enforcement Act of 1990. This act was designed to revise the Balanced Budget and Emergency Deficit Control Act. “BEA replaced the focus on deficit targets under Gramm-Rudman-Hollings with a two-pronged procedural approach to budgetary enforcement: the implementation of pay-as-you-go (PAYGO) procedures to control new direct spending and revenue legislation and discretionary spending limits to control the level of discretionary spending.”(Lynch, 2011, p. 11)
The Term Paper on Budget Message of President Aquino
These past two years, we have remained conscious of the budget’s role in advancing our national agenda; and we have achieved historic feats. In 2011 and 2012, the men and women of this Congress acted with diligence and urgency in enacting the National Budgets. In fact, the General Appropriations Act of 2012 was the earliest enacted budget since our countrymen restored true democracy in 1986. For ...
From 1985 until 1990 Congress has tried really hard to reduce the budget deficit. Today the deficit is 4 trillion dollars. President Obama is trying to reduce the deficit. President Obama plan on how to reduce the budget deficit is by strengthen the middle class. “The President’s Fiscal Year 2014 Budget demonstrates that we can make critical investments to strengthen the middle class, create jobs, and grow the economy while continuing to cut the deficit in a balanced way.”(http://www.whitehouse.gov/omb/budget) According to the Economic and Budget Analysis “the Administration projects the economic recovery that began in mid-2009 will continue with real GDP growing at an average annual rate of 2.9 percent over the next 10 years.”(“Economic and Budget Analyses,” 2013, p. 12) Although this might seem to be impossible to overcome a huge deficit I think that we can overcome this and go from in the red to in the black.
I believe that the President and Congress should have a nice long meeting and take a deeper look into the budget. They should also look at what previously Presidents and Congress have done in the past and see what were there weakness and their strength. Once that have discovered their strength and weakness come up with a real strong budget and stick with it. Do not decide one thing and thing started to go wrong and you increase the limit, just stop and see where the money is going and try to control the situation before it become out of hand. The budget deficit is going to get out of control if Congress and the President do not try and get a handle on the deficit. As of now they are trying to work on the budget deficit.
The Essay on Budget Deficit National Debt
The purpose of this paper is to discuss the short- and long-term effects of current budget deficits and the nation debt. In order to do this; I first had to find out exactly what they were. I will also discuss whether I think the government should operate with a balanced budget. Budget deficit is the amount by which total government spending is more than government income during a specified ...
The President want to put the economy in the right direction by lowering the deficit. Is it possible to say that the deficit is too much and we will never recover or is it safe to say that we are moving in the right direction. Previously analyst shows that a plan can always work if you stick with it. Previously presidents have come up with a budget plan just to turn around and change the plan a few years later. Only time will tell if we are going to be economically stable or further in debt.
References
Amacher, R., & Pate, J. (2012).
Principles of Macroeconomics. San Diego CA: Bridgepoint Education, Fiscal year 2014 ANALYTICAL PERSPECTIVES: Office Budget of U.S. Government. (2013).
Retrieved July 1, 2013, from http://www.whitehouse.gov/sites/default/files/omb/budget/fy2014/assets/list.pdf Lynch, M. S. (2011).
Statutory Budget Controls in Effect between 1985 and 2002. Retrieved from http://www.fas.org/sgp/crs/misc/R41901.pdf
