Deficit Spending Slowing But Debt Total Continues To Soar
It's safe to say that, relatively speaking, the subject of deficit spending in the United States has become a non-issue from a political point of view.
Just a few short years ago, the nation's deficit spending led to a shutdown of the federal government. Now? Nobody really seems to care, as issues such as ISIS, ebola and immigration dominate the headlines. As the mid-term elections approach, deficit spending is not even a top 5 issue.
Deficit spending in the United States has been whittled down significantly over the past 5 years. In 2009, the US government posted a deficit of over $1.4 trillion. After that, three more deficits of at least $1 trillion.
In 2013, the country was able to post a deficit of less than $1 trillion for the first time since 2008. In 2014, the deficit was even smaller, with a $500 billion deficit for the fiscal year projected.
According to the CBO, deficit spending in the United States is expected to continue to slow in 2015 before ratcheting up again in the coming years. The 2015 deficit is expected to come in at around $469 billion. By 2021, however, the nation is expected to post a deficit of $820 billion, followed by deficits of $946 billion, $957 billion and $960 billion. Scary stuff.
So while the subject of deficit spending continues to recede as a political hot potato, one thing remains certain - deficit spending is a problem that has not been fixed.
As a constant reminder of the dire financial situation that the United States continues to find itself in, the US national debt clock continues to tick higher and higher and higher. The national debt clock currently stands at $17.9 trillion - the $18 trillion mark will be surpassed soon (for the first time ever), while the $20 trillion mark looms on the horizon.
In short - the subject of deficit spending needs to continue to be focused on as it is expected to ramp up dramatically in the coming years.
The problem? The issue will continue to be pushed to the sidelines.
Filed under: General Knowledge