U.S. Government Debt

US Government Debt

Student Name

Student Number

Course Code

Instructor

November 19 , 2010

The US government debt is currently pegged at an average of 13 .45 trillion . This is quite a huge amount of money that can not under any circumstance be ignored . As such , it is important to also note that the public debt was approximately 52 of the GDP as at the year 2009 which is such a grim statistic . This means that the budget deficits accrued over the years have led to a situation where the

government borrowed more from the general public and other governments - a clear indication that the spending of the government is either overboard or the budgets do not efficiently cover expenditure . Therefore , as a president of the United States of America , the debt would be an issue that is quite important in determining the financial standing of the government (Central Intelligence Agency , 2010

The first means through which the debt can be reduced is through increasing taxes . Currently , the country has just come out of a difficult economic recession and as such this can not be a practical step . Secondly , the budget should be made in such a way that the critical issues that can address the payment of the debt are addressed This will include steps like rationalizing aid to the various sectors This can range from aid to developing countries or even bailouts in the different industrial sectors . For instance , in as much as the private sector is important in...