The United States Fiscal Policy - 1378 Words

The United States has gone through economic successes and turmoil since its independence in 1776. Some of these peaks and troughs were quite severe, but the economy tends to self-correct itself. Prior to the Great Depression, the United States had a laissez-faire approach to economic matters, including on how to balance the budget. However, once the Great Depression started, economists decided the government needed to be involved in the U.S.’s economic affairs as the unemployment rate reached 25%. The first fiscal policy to be instituted was The New Deal by President Franklin D. Roosevelt, but the results were lower than hoped due to the start of the Great Depression. The New Deal was to provide relief, recovery, and reform to the nation,†¦show more content†¦With the national debt reaching $21.7 trillion this year, the United States refocuses on climate change, education infrastructure, military expenditures, and tax reform to reduce spending and spend more precisely . When creating a fiscal policy it is important the policies are timely, targeted, and temporary. President Obama released the budget for the fiscal year of 2017 focusing on some interesting challenges: climate change, treatment for diseases, and economic security. To build off our economic and fiscal progress we will see the sequestration lifted in 2018, as we invest in our future and security. The replacement to these savings comes by closing tax loopholes, tax reform, and spending reforms. As the U.S. moves forward it will use innovation to create a better future for generations to come, as we know available resources are diminishing leading to a scarcity. Therefore, the government must use the current resources in the most efficient ways. The government plans to enforce cleaner transportation infrastructure, with vehicles being more sustainable with low-carbon emissions. They are planning to prioritize the research development in the Food and Drug Administration, focusing primarily on biomedical research and eliminating cancer. The government will be supporting the end to cancer with $1 billion. The budget will invest in future jobs with supercomputing, robotics, or nanotechnology