When the economy suddenly has more money circulating around there is the threat of inflation. "The Federal Reserve is expected to hold its main short-term interest rate at a 45-year low of 1% at its last meeting of the year in December, as well as into part of 2004, economists predict. Holding short-term rates at such low levels might motivate consumers and businesses to spend and invest more, something that

Health Care Reform Federal Deficit The American Health Care Crisis and the Federal Deficit The United States spends more than any other country on medical care. In 2006, U.S. health care spending was $2.1 trillion, or 16% of our gross domestic product. At the same time, more than 45 million Americans lack health insurance and our health outcomes (life expectancy, infant mortality, and mortality amenable to health care) are mediocre compared with

" What this shows is how the current financial crisis / recession have placed a drag on both programs that are facing severe challenges from the large numbers of uninsured. Where, the lack of health insurance is indirectly forcing people to turn to both programs, once their condition becomes so severe that it can no longer be ignored. At which point, the costs increase to treat these people which causes the

Federal Budget surplus by focusing on the three consecutive years of surplus budgets achieved by the Clinton Administration after nearly fifty years during the last three years towards the end of the second term of President Clinton and his administration from 1998 to 2000. President made public the new White House budget figures that expect a surplus of $39 billion for the fiscal year 1998 and a $150 billion surplus

U.S. NATIONAL DEBT The national debt of the United States is at an all-time high in dollar terms. What is national debt? National debt just like personal debt can be defined as the obligations that the government has to other parties with regard to money. It can also be defined as the claims of other nations and institutions on the assets of a country. A situation of national debt occurs when internal revenue

The continued investment of China in U.S. Treasury notes and bonds, as well as the private investment of Chinese wealth in U.S. businesses, helps to fund government and business activities in the U.S., sustaining both social programs and economic growth in the country. This is an incredibly short-term view of the situation, however, and does not take into account the eventuality of China recalling its debt from the United