As the president of 2022 assuming the responsibility of the country that was once one of the biggest nations economically has its advantages and disadvantages. If we talk about money, we literally are talking about a piece of paper, which we gave value to and can either give a country power or give it frustration, so let’s talk more about it.
As a country evolves it expands its' sources and to grow a nation as a whole, it needs to work for it, but for that there is always a requirement: money. To maintain the cycle of the economy there needs to be involvement from the community for the government to provide their organizations, like a trade; as long as people collaborate with their taxes helping the community, the government will help the …show more content…
As the United States purchases resources and money, this called expenditures, our debt increases since we cannot give back what we acquire. According to Henry Aaron's article, The Total debt in the United States is $17.6 trillion in which $5 trillion are held by government agencies (Social security administration), $6 trillion in foreign government such as people, and organizations, and the remain $6.6 trillion in insurance agencies, banks, and other organizations in the U.S. The U.S. Treasury divides the federal spending into 3 groups: Mandatory spending, whi8ch pays for all the government services and programs that we rely on, Discretionary spending, and interest in …show more content…
The idea of cutting 1 trillion is really challenging if we think of how to cut programs that are necessary and what consequences it might come with this outcomes of cutting money. One of the issues that gave me interest is the “tax expenditures” or tax breaks. According to the article “Tax breaks function as a type of government spending. When the government issues a tax break, it chooses to give up tax revenue for a specific purpose - so both spending and tax breaks mean less money in the U.S. Treasury,” tax expending’s are highly priced (in fact, tax breaks were expected to cost $1.22 trillion.) thus by cutting $200 billion out of those $1.22 trillion it wouldn’t influence the tax annual approval; in fact, as the article cites “tax breaks do not require annual approval. … even if the tax breaks fall short of, or outlive their original purpose intended by Congress, they frequently stay on the
As a country evolves it expands its' sources and to grow a nation as a whole, it needs to work for it, but for that there is always a requirement: money. To maintain the cycle of the economy there needs to be involvement from the community for the government to provide their organizations, like a trade; as long as people collaborate with their taxes helping the community, the government will help the …show more content…
As the United States purchases resources and money, this called expenditures, our debt increases since we cannot give back what we acquire. According to Henry Aaron's article, The Total debt in the United States is $17.6 trillion in which $5 trillion are held by government agencies (Social security administration), $6 trillion in foreign government such as people, and organizations, and the remain $6.6 trillion in insurance agencies, banks, and other organizations in the U.S. The U.S. Treasury divides the federal spending into 3 groups: Mandatory spending, whi8ch pays for all the government services and programs that we rely on, Discretionary spending, and interest in …show more content…
The idea of cutting 1 trillion is really challenging if we think of how to cut programs that are necessary and what consequences it might come with this outcomes of cutting money. One of the issues that gave me interest is the “tax expenditures” or tax breaks. According to the article “Tax breaks function as a type of government spending. When the government issues a tax break, it chooses to give up tax revenue for a specific purpose - so both spending and tax breaks mean less money in the U.S. Treasury,” tax expending’s are highly priced (in fact, tax breaks were expected to cost $1.22 trillion.) thus by cutting $200 billion out of those $1.22 trillion it wouldn’t influence the tax annual approval; in fact, as the article cites “tax breaks do not require annual approval. … even if the tax breaks fall short of, or outlive their original purpose intended by Congress, they frequently stay on the