national deficit :: essays research papers

As one of the top hug drug concerns in this years presidential election, the national famine has been given several(prenominal) attention by both presidential candidates. But the candidates can solely make promises to the public on this issue, stating that they go forth cut the national deficit in half , by 2009. Since both George W. Bush and John Kerry adjudge the same goal, the examination begins on how each of them plan to contact it. When death chair Clinton took office, he reduced the national debt by 10% in his dying five years. But as Bush took the presidential seat in 2001, he reversed this progress and is now predicting that he will achieve the highest ratio of Gross National Debt to the Penny (GDP) in 50 years, if we re-elect him.(http//zfacts.com/p/318.html)When Bush took office, there was a surplus of $236 billion, according to the Office of management and Budget. By the end of 2004, a record $413-billion deficit is expected because of evaluate cuts, outgo on national security, Iraq and Afghanistan and interest on the debt. (http//www.freep.com/news/ government activity/taxgrid23e_20041023.htm)President Bush blames the deficit on the recession, the rise in force and homeland security spend, and tax cuts, which he believes were needed to encourage the economy. He has tell holding off on non-homeland security and non-defense spending have with economic growth will make it possible to cut the deficit in half over the next five years. He pipe down plans to emphasise and make his tax cuts permanent, which have affected both businesses and individuals. In respect to the budget enforcement rules affective in the 1990s, Bush is requiring annual limits on optional spending programs, and a pay-as-you-go requirement to force necessary spending programs to make budget cuts to make up for the increases payments. (http//www.post-gazette.com/pg/04284/392809.stm) Sen. John Kerry blames the deficit on tax cuts and entitlement spending not paid for with savings elsewhere. He has said that keeping the optional domestic spending on the same business as inflation, and paying for new proposals which will balance out savings, will make it possible to cut the deficit in half in his first term. Kerry also says he would bring back the traditional pay-as-you-go rules, exactly keep the right to raise taxes so as to offset spending increases if necessary, though Kerry has vowed to put off spending increases or find offsetting cuts first. Kerry plans to try and decrease tax cuts for households earning more than $200,000, and use other tactics that he estimates will raise nearly $900 billion, much of which will go toward financing health care and other initiatives.