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In several years in the past the federal government did not collect as much money as they spent (Mikesell 2003). This is said to be due to economic expansion and economic decline (Mikesell 2003). However, this causes the government to borrow money to make up the difference (Mikesell 2003). The known term for spending more money than what is taken in, is known as a Budget Deficit (O'Sullivan and Sheffrin 2006). Political issues and economic policies arise from the size of the governmental budget deficit (Wikimedia 2006). Many people and fiscal officials promote a balanced budget while disapproving deficit spending. "Deficit spending occurs when a government, business, or individual's spending exceeds income (Wikimedia 2006)." Ultimately, any deficit must be paid back. Though the United States Government would rather forgo a deficit rather than raise taxes or constrain spending (Hummel 2002 and 2006).
In 2000, the federal funds had a surplus, meaning the government was taking in......
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Title: Innocuous Spending
Approximate Word Count: 1470
Approximate Pages: 6 (250 words per double-spaced page)
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