I don’t agree with the former CJCS, Admiral (R) Mike Mullen’s assessment that the national debt is the greatest threat to National Security. First, the Congressional imposed sequestration cuts in 2011 resulted in the deficit declining over 50 percent from a record $1.43 trillion in 2009 (Dean, Washington Times, Oct 30, 2013). The increase in tax revenues is an indication that businesses and individuals are earning more due to the improving economy also contributes to the decline of the national debt. The President and Congress agreed on severe cuts to include the Defense Department, if they were unable to pass a budget. I think that sequester cuts to the Department of Defense is more of a threat to national security that the national debt. The 2013 budget sequestration has resulted in significant current and future cuts to active duty and reserve personnel. A smaller, leaner military may seem desirable during in a post-war era. However, managing multiple global conflicts as in the case of WWII could prove challenging due the premature loss of combat experienced personnel. The sequester cuts also resulted in reduced training and weapon systems critical to the readiness. Senior Defense officials warned the Congress that sequestration cuts would lower military readiness (asmconline, 2013, Feb 20). Reduced readiness affects the military’s ability to rapidly respond to multiple global crises. Concerns about national debt were the catalyst for sequestration, but I don’t view the national debt as the single most important threat to our National Security. As a large holder of US securities, China could decide to sell a large share of the US Treasury Bonds, resulting in a domino effect of other countries holding US securi... ... middle of paper ... ...rity. To a certain extent the trade deficit is self-imposed because of US corporations seeking cheap labor and materials to produce goods. In conclusion, the national debt has stymied economic growth, and contributes to national security concerns, but it is not the single threat to national security. The US could easily reduce this disadvantage through less dependence on foreign oil, tax advantages for companies to produce goods within its borders and increased tariffs on Chinese imports. Over time, the United States has always proven the willingness and ability to quickly mobilize its forces to defend against external threats to the country and its interests. Works Cited Congressional Research Service Report for Congress, Aug 2013, Dean, Washington Times, Oct 30, 2013 asmconline, 2013, Feb 20 americanmanufactoring.org, Oct 2012 epi.org, 2012
Despite his many compromises however, Thomas Jefferson’s intent to dissolve the national debt was to a great extent unvarying. Jefferson and his Treasury Secretary Albert Gallatin honestly feared a large federal deficit as a threat to Republicanism. To avoid this threat, the President sought to diminish the role of the federal government, and decreased the national budget. These budget cuts substantially diminished the size and resources of the American army and navy. When criticized, Jefferson defended these military cuts as being consistent with Republican policies in that a smaller U.S. Army would be seen as less of a threat to other nations and reduce the risk of provocation, resulting in the ultimate promotion of peace.
Moreover, economic interdependence promotes peaceful trade between countries since it is beneficial and avoids war at all cost. For example, “China’s economy is thoroughly integrated in this complex interdependence global economy,” thus it would be suicidal for China to start war (Wong, The Rise of Great Powers, Nov.18). China free trades with the Association of Southeast Asian Nations (ASEAN) and has developed a profitable relationship that led to trade surplus (Kaplan, pg.3). As a result, starting conflicts with the ASEAN will threaten the Chinese economy because it will drastically impact free trade and will cause a downfall in profits. The possibility of war between China and United States is remote because China would rather benefit from resources such as, security, technology, and market that United States provides (Wong, The Rise of Great Powers, Nov.18). Although economic power shifts to China, United States provides security because it has always been the dominant hegemony; therefore, it has a better and powerful economy (Green, pg.34). It is evident that China’s economy is rapidly increasing, but it still has no interest in being the head hegemony and therefore does not challenge United States. That being said, countries choose to avoid conflicts with United States or their trading partners since it will negatively impact their markets and investments.
“No nation ought to be without debt”, states Thomas Paine” (35). However, “a national debt is a national bond…America is without a debt, and without a navy (35).” In the chapter “Of The Present Ability of America, With Some Miscellaneous” Paine paints a picture of the present day 1776 position of the military. He claims that the America’s position of defending herself is minimal due to a nonexistent navy which has been blocked by England. Great Britain’s debt level is high; rather, the compensation for her debt is the investment of a strong navy to defend herself and the American people. Conversely, “our land force is already sufficient, and as to naval affairs, we cannot be insensible, that Britain would never suffer an American man of war to be built, while the continent remained in her hands” (34). Paine understands the important role of a navy, and he warns the American public that America is vulnerable to attack and destruction because the British will never sacrifice their manpower for America’s liberty and freedom from other countries. Paine points out that America has an opportunity to “leave posterity with a settled form of government, an independent constitution of its own, the purchase at any price will be cheap” and prosper with a constitution and a military of her own to defend herself and her people in times of turmoil and crisis because “a navy when finished is worth more than it cost” (34, 36). “Commerce and protection are united,” and America’s “natural produce” of timber, iron tar, leave the American ports to gain marginal profits for the colonial states across the Atlantic in Europe
The national debt surfaced after the revolution when the United States government had to borrow funds from the French government and from the Dutch bankers. By 1790, the U.S. government accumulated millions in debt, but no one knew precisely how much. The Constitution mandated that the new government take over the debts of the old government under the Articles of Confederation.
Every day in New York City, hundreds of people walk past a huge digital billboard with giant numbers across its face. Each person who walks past this billboard sees a slightly different arrangement of numbers, growing larger every second. This board is the National Debt Clock, representing the over 14 trillion dollars currently owed by the United States. While some people claim that the national debt is caused by the falling economy, most maintain that the debt itself causes the poor economy (Budget Deficits 2007). Rising debt leads to higher interest and investment rates, and cuts into our national savings. Ignoring the national debt leaves the major burden of paying it off to later generations, while meanwhile allowing our country’s economy to further drop and our dependency on other nations to rise.
The national debt is usually a frightening topic citizens of any country, however, in the United States, twenty trillion dollars of national debt is one of the major fears of the economy. Along with this fear comes every politician claiming to be the person to lower this astronomical debt to ease concerns in the modern American economy. In Hamilton’s Blessing, John Steele Gordon tries to alleviate these concerns by showing a plethora of benefits and good the debt has been able to do throughout the history of the United States. The central premise of the book and the main guideline for John Steele Gordon’s thinking is that the debt was used to save the Union in the 1860’s, the American economy in the 1930’s, and the wellbeing of mankind during
The United States has for over two centuries been involved in the growing world economy. While the U.S. post revolutionary war sought to protect itself from outside influences has since the great depression and world war two looked to break trade restrictions. The United States role in the global economy has grown throughout the 20th century and as a result of several historical events has adopted positions of both benefactor and dependent. The United States trade policy has over time shifted from isolationist protectionism to a commitment to establishing world-wide free trade. Free trade enterprise has developed and grown through organizations such as the WTO and NAFTA. The U.S. in order to obtain its free trade desires has implemented a number of policies that can be examined for both their benefits and flaws. Several trade policies exist as options to the United States, among these fair trade and free trade policies dominate the world economic market. In order to achieve economic growth the United States has a duty to maintain a global trade policy that benefits both domestic workers and industry. While free trade gives opportunities to large industries and wealthy corporate investors the American worker suffers job instability and lower wages. However fair trade policies that protect America’s workers do not help foster wide economic growth. The United States must then engage in economic trade policies that both protect the United States founding principles and secure for tomorrow greater economic stability.
In 1776, even as Adam Smith was championing the ideals of a free market economy, he recognized that the interests of national security far outweighed the principles of free trade. More then two centuries later, that sentiment proves to still be accurate and in use. Since the early 1900s, the United States has used this precept to defend its position on trade barriers to hostile nations, and through the majority of the century, that predominantly referred to the Soviet Union and its allies.
The U.S budget deficit over the years has been a problem but lately the deficit has shrunk. However, what made the U.S budget deficit get to where it is today and what will it be like in the years to come. Throughout the past the U.S has operated under a deficit. This means that the U.S Spent more money than it was taking in. The cause of the excess in spending was different depending on which year. Some of the causes were war, increase in spending , and economic downturns. There were different acts passed to try and control the deficit problem. The deficit at the present time is declining. This decline is due to the improving economy, sequester, and a tax increase on high-income households. The big factor that went into the decline in the deficit for 2013 was the payment that Fannie Mae and Freddie Mac made. The deficit decline in the present time may make some think the U.S could get out of debt but it has been projected that the U.S deficit will start to increase once again.
All but four countries in the world has external debt (“Country Comparison: Debt External”). Having a debt is almost as common as having a mortgage. Since its establishment, The United States has always been in debt (“Historical Debt Outstanding – Annual”). The US national debt has had five sharp increases previously in its history. The reasons include civil car and the two World W...
Will the security of our nation be compromised? Will U.S. enemies take it as a chance to land a brutal blow against America? Yes, these things will happen. However, they will only happen if the military budget is decreased too much, or if funds are not used appropriately. For instance, maybe the U.S. needs to invest less of its resources into meddling into foreign affairs. At some point, America became the terrorists in the “War on Terror.” Undoubtedly, America has the strongest and best-trained military on the planet. Mainly because of how many resources we’ve invested in building it. Granted, this great country will not falter with some military budget cuts here and there. Instead, it can take those funds and invest them into the leaders and workforce of tomorrow and brighten its
This imposes problems on the military and even on the government. One article states that, “Reduced budgets and the threat of sequestration create a sense of uneasiness in the ranks, and those fears are fueled by politicians willing to shut down the federal government rather than compromise.” (Army Magazine) This is because with the increase of budget cuts they start to cause problems for the ones who are working and this creates lost jobs in the military. No one wants to lose their job not even the ones that have put forth a great amount of time and effort in the military. For the ones that have been in the military for a long period of time this can actually have negative effects on their life style and even cause problems when returning
The U.S. trade deficit has risen more or less steadily since 1992. In the second quarter of 2004, the trade deficit relative to GDP surpassed the 5 percent mark for the first time. Many economists already considered trade deficits above 4 percent of GDP dangerously high. The fear is that continued growth in this external imbalance of the U.S. economy will ultimately spook overseas investors. http://www.americanprogress.org/issues/2004/09/b193700.html
A nation that possesses strong industry, a favorable trade balance, and a lack of dependency upon foreign states is optimum. This ideology is one that has been strongly advocated throughout America’s existence, by politicians from Alexander Hamilton to Pat Buchanan. When a nation faces a trade deficit, it means that competing states are producing more efficiently, and ultimately making profiting. Also, a deficit means that industry and jobs, which could exist domestically, are being “stolen” by foreign nations. According to mercantile policy, this is a zero-sum game; when a competitor is winning, we are losing. The United States faces this situation, having evolved from the world’s largest creditor nation during and following World War II to its current position as the world’s largest debtor. Because America imports much more than it exports, an additional 600 billion dollars is needed every year to balance the equation. This money is “borrowed” through the sale of government assets, sometimes to domestic investors, but increasingly to foreign ones. Many circumstances can be blamed for this situation: cheap foreign labor, foreign government subsidy, and closed foreign markets, among others. The question therefore arises: how to negate obstacle...
... The Costs of US Hegemony: Military Power, Military Spending, and US Trade Performance. Sage.