Assignment 4.1: California Government in Crisis There are many obstacles of California politics, which contribute to our inability to live the California Dream. For example, California debts continues to escalate, due to our taxation system hasn’t changed over the past years. Hence, during 2012 there was a budget gap of 16 billion dollars, which was more than the total revenues receive for general funds. Since, our taxation system depends highly on the income taxes paid by capital gain, the stock market must increase, so it can create a surplus. If that doesn’t happen, the government must find another way to finance their budget.
Every penny that is made, taxpayers lose money. Even though the penny might not seem worth much but per taxpayer it adds up to sixty million dollars a year(Sommer). To produce a penny it will cost a lot of money and why should we wanna waste money on something that is not worth for what it is. Other than the pennies costing to much, other countries have released the penny from their countries. Many countries have stopped having the pennies without any major disasters.
If the militarization should continue, there is a possibility of a war forming, and so, the possibility another economic crash. Many countries are involved in the conflict, and the United States of America knows all too well, that wars cause a lot of problems. According to watson.brown.edu, “Between a quarter and a third of this increase in federal indebtedness is due to war spending: by the end of 2011, deficit spending on the wars had raised the ratio of debt to GDP by about 10 percentage points.” The amount of money spent on a war is so high that you could live luxuriously for a whole lifetime just off of the average amount of money spent on a
This problem is also creating some other problems in American such as increase crime rate is also because of poverty. There is millions of American who cannot afford to get basic necessities of life. Another important point is that because of ignorance of government for this issue, the poverty rate will continue to increase. So based on these facts; I have selected the issue of poverty to solve. Below are the steps that I will take to solve the problem of poverty: I will promote the policies which will be helpful to create more jobs.
Introduction The United States has had a growing Federal debt that lawmakers refuse to control; thus, a balanced budget amendment needs to be enacted to force federal lawmakers into action. The current debt to the penny amount for the United States is $ 21,065,155,853,968.88 as of March 22, 2018. As seen in Figure 1 below, the Federal debt was just under six trillion in 2000, in a matter of 18 years that debt has tripled to over $21 trillion dollars. This debt is continually growing due to irresponsible policies and spending at the Federal level. As evident in the growing debt due to deficits each fiscal year, Federal lawmakers advocate to reduce spending and attach the Federal debt, but neither political party that is in power has enacted
But that statement could be debatable. Hyperinflation (1923) was a big problem in Germany. It was a big problem everywhere. Both rich and poor, woman and men were suffering from it severely. This is because the government printed out even more money so that he could pay off the reparations.
The United States of America’s military expenditure is the largest in the world. Billions of US tax dollars are being spent on the military each year. Other sectors of the US federal budget, such as education, welfare, and the environment, are the areas being cut to try and attempt to balance the budget. Spending tax dollars on the military overseas should be lessened because the tax money spent abroad could go to more essential areas of the budget, the money could stay in the hands of the people making that money, and our priorities should be something else other than paying for wars. Over the years, the United States military has grown profoundly, with its beginning in colonial America as a small militia, to the largest in the world today.
He was also accused of putting the nation into debt and not managing the national budget very well. He reacted to these criticisms with the social security program heavier taxes on the wealthy, more government control over banks, and safety nets for the unemployed. This program is still majorly affecting America to this
Economic recession in 1960s to 1980s are still like the yesterday’s nightmare for most people in early twentieth century. During this period, , a big trade deficit was caused because more foreign goods floated into US market than capital floated from the US to developing countries. This phenomenon made the economy inside the US face a hard time. Meanwhile, American citizens began to pursue “one of the country’s most cherished myths, the American Dream-a fantasy of social mobility enabled by America’s putative rejection of the aristoristocratic heirarchy structuring the Old World societies of our ancestors”(Deitchman). Lots of people wanted to go from lower class to upper class in order to escape from the life which was becoming harder and harder.
As responsible global citizens, we should concern ourselves with the question of whether the poverty and inequality matter. It does. Poverty, defined by Google as “the state of being extremely poor”, is an extremely important problem in the world. Over 1.3 billion people worldwide live on less than 1.25 USD per day, and this number is growing as wars and lack of employment are forcing people into poverty. Poverty is a significant and growing problem worldwide- one that costs the world’s economy hundreds of billions of dollars.
However, the British Government was in serious debt at the time of its extreme taxing of the colonists. National debt doubled from £75 million in 1754 to £133 million in 1763, as money to finance the war was borrowed heavily from British and Dutch bankers. (website about taxes) Because of this enormous debt, the British needed to make up for it by setting new taxes into affect. It is arguable that the debt was in part a burden of the colonists ' as the war ended to their advantage, and was undertaken upon their account. It is also debatable whether or not the colonies were obligated to help out their mother country in this way.
President Reagan’s began his presidency with the understanding that there were growing concerns felt by the American people concerning the events that were taking place within our nation (Schultz, 2013). Also, he realized that family values and a free market were probably the two areas that were most important to the citizens. He started his presidential legacy by cutting taxes, decreasing funds for social programs and by increasing military resources. His thoughts were that by cutting taxes that the government 's revenue would increase, thus, ensuring they could pay their debt instead of the taxpayers. Although, the changes in military funding and social programs led to a drastic increase in the nation 's debt that even the
Student loans is the second highest source of debt of $2.1 trillion dollars in the U.S. economy right now. This student loan debt is not only affecting the entire economy as a whole. In America, people believe that earning at Bachelor’s degree is the key to success in order to be financially secure be set in life. However at the same time, the cost of tuition has skyrocketed, and the borrowing of loans rise with it. The rising of student loan and debt will reduce consumption, lower investing, lower the rate of home ownership, and overall make it difficult to sustain financial stability.
According to a source, the average college tuition is about 9,000 dollars. Unless you have millionaires as parents, this is a big chunk of change that will take a lot to be paid back. Today, students are forced to take out student loans and that is what hurts most students down the road. According to the American Student Assistance website, the total outstanding student loan debt in the United States today is between $902 billion and $1 trillion. Approximately $864 billion is composed of outstanding federal student loan debt.
This left many industries across Canada to be short of much-needed labour. The biggest negative impact of the War on Canada was the debt that Canada accumulated. Canada’s debt in 1914 before the war, was $544 000 000 which suddenly rose to almost $2.5 billion after the war in 1919. A massive and unusual effort had support the war overseas and had loaned the Canadian government all of the money it needed to fight the war. The resulting debt of more than $2 billion would fundamentally change the nature of our post-war economy.