National Debt Essay

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The national debt of the United States of America stretches a long way back. The debt started in 1789 and has slowly been growing ever since. There are many different causes, choices, and actions that have helped accumulate the debt we have today. People have come up with different ideas on how to get out of debt and of ways to slow it down, but as of today none of those ideas have been very successful. Our national debt is a giant problem looking us right in the face, but many people want to look past it, not worry about it, and just enjoy life. Ever since the constitution went into effect in 1789 there has been debt. A massive amount of war debt was amassed during the American Revolution, Continental Congress, and under the Articles of Confederation. After the civil war there was a sharp increase in national debt and the total amounted to $2.7 billion at the end of the war. From the end of the civil war to the end of World War I the national debt rose substantially to $25.5 billion. Right after the war though the national debt was reduced by 36% by the end of the 1920s. The result of World War II sent the national debt to $251.4 billion by the end of the war. After World War II the national debt fell rapidly and the United States experienced post-war economic expansion. In 1974 the debt fell to a post-war low of 24.6% of GDP. In the 1980s President Reagan's economic policies lowered tax rates and increased military spending, and as a result the debt reached 40.9% of GDP in 1988. During Clinton's time as President he decreased military spending and increased taxes in 1990, 1993, and 1997. This led to a 15% drop of GDP to 34.5% by the end of Clinton's time. Bush tax cuts and military spending, caused by wars in the Middle-East, ... ... middle of paper ... ... what was the point? Economic growth is a part of the equation for getting out of debt. Economic growth will not solve the problem of national debt, but it is a step in the right direction. The creation of more jobs and finding into higher paying jobs is another thing that will help get America out debt. Higher paying jobs means more net taxpayers which will result in fewer dependents on government largesse. Lastly people need to cut their personal debt. The United States national debt is a big problem that can't be avoided. Action needs to be taken so that history doesn't continue and the debt keeps growing as it has been since 1789. People who are higher in command need to take leadership for how the country is going to get out of debt. A lot of spending cuts and big time decisions are going to have to happen if this country wants to get out of debt.

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