What Cause United States to Have Such a Temendous Debt
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Transcript of What Cause United States to Have Such a Temendous Debt
“What Cause United States to Have Such a Tremendous Debt?”
Stracy NixonENG 1105
TECHNICAL COMMUNICATIONS
What is a Debt?• Debt is an obligation to pay someone back,
either in money or other goods.• The national debt is a point of topic in
politics today because, of the damage high debt has on the dollar and the government.
• The Untied States has had nation debt since the Revolution War.
• “By the end of the President Reagan resign the federal debt was $2.6 trillion dollars”(Bonner and Wiggin).
• Since 2000, it has increase and as of 2010, the nation debt has soared to $14 trillion dollars.
• Some causes for the large debt are war, social and bail out programs.
The effects recent Wars have on the National Debt?
• We know that wars is not cheap.
• “Congress has approved a total of $1.21 trillion
dollars to fund both Iraq and Afghanistan wars
including military operation, and base security.
• It is estimates that Iraq will receive about $751
billion dollars , $366 billion dollars for
Afghanistan, and $29 billion dollars for
enhanced security.
• Military personal costs was $300 million
dollars include not only number of personnel
receiving special war related pay and
benefits(e.g.) hostile fire or imminent danger
pay, separation pay, survivors benefits), but
also addition cot activating reservists”(CRS
report for Congress).
Homeland security• September 11, 2006 terrorist attack was a awake
up call for United States to increase national
security.
• “In this view point taken from remarks on his
2006 budget, President Bush stresses the need
to maintain spending on the military
and homeland security” (Greenhaven Press).
How does Social Programs effect the Nation Debt
• The United States many social programs such as
Social Security, Medicaid and Medicare to their
citizen and they are very important programs.
• On the other hand, the spending for these
programs is growing faster than inflation, faster
than the economy, and faster than out ability to
pay for them.
• “More than $2.47 trillion is pent each year for
these programs. More that $7 billion use for
Social Security and just under $13.2 billion has
gone to pay for Medicaid services.
• Medicare is expected to cost the federal
government about $480 billion” (Przybyla).
How much money was spend on Bail out Programs.
• Over $700 billion dollars has been used to bail
out banks and car companies.
• The government has intervened to rescues major
financial firms and prevents an imminent collapse
of the America and global banking system by bail
out of the mortgage giants Fannie Mae and
Freddie Mac.
• “The U.S. House of Representatives has passed
$25 billion package for the auto and auto parts
industries, both of which would be able to
access low-interest loans to modernize their
industries and get through the recent credit
crunch”(Hopwood).
Sources
Primary Sources• Bonner, Bill and Wiggin, Addison. EMPIRE OF DEBT The Rise of an Epic Financial Crisis.
• CRS Report for Congress (2010, September 2). The cost of Iraq, Afghanistan, and other Global War on
Terror Operations Since 9/11. Retrieved February 15, 2011, from
http://www.fs.org/sgp/crs/ntec/RL3310.pdf
• Developed by Greenhaven Press (2005). Opposing View Points Government spending.
• Przbyla, Heidi. (2011, January 31). Social Security Get A Reprieve-for Now. Bloomberg business
Week/421428(2)/ISSN:00077135.
Secondary Sources • Hopwood, Jon C. (2008, September 26). House Passes $25 Billion Bailout of Automobile Industry. Retrieve
March 2, 2011, from
http://www.associatedcontent.com/article/1063177house_passes_25_billion_of.html