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Federal Government Funding of Defense is Similar to That of Medicaid and Social Security in That the Money is Irresponsibly Created Out of Thin Air.

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Over the last forty years federal government funding of national defense, Medicare and Medicaid, and Social Security have increased enormously.

In 2008, the national defense budget was officially a whopping $613 billion.

This amounted to twenty-one percent of the entire budget and that is not counting the provisional spending bills that are assigned to wars in Iraq and Afghanistan.

The Medicaid and Medicare budget had increased to $682 billion in the federal budget which amounted to 23% of the 2008 federal budget with even more Medicaid and Medicare spending to come in other provisional bills along with the 2009 Obama stimulus bill.

Social Security, always one of the biggest expenditures of the federal government, had increased to $612 billion dollars in 2008 which was approximately 21% of the entire federal budget.

In total, the above listed expenditures amounted to 65% of the entire federal budget for the 2008 fiscal year.

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Federal Government Funding of Defense

Since World War II, incited by the Cold War, United States Military Spending has been higher hand any other nation, and most of the world’s nations combined.

In the 1970s, Defense Department spending averaged around $350+ billion which is around $865 billion in modern dollars.

In the 1980s, under the Administration of Ronald Reagan and George H. W. Bush, Defense Spending hit an average of $420 billion which is around $800 billion in modern value.

In the 1990s, under George H. W. Bush and mostly Bill Clinton, Defense spending was around $325 billion annually as Clinton drastically cut spending. $325 billion in 1995 would be around $440 billion today.

Under George W. Bush, defense spending rose dramatically and currently averages around $500 billion annually, not counting around $150 billion worth of provisional spending on two wars.

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Federal Government Funding of Healthcare

The Medicaid and Medicare programs that have been around since the 1960s have been the among the highest federal expenditures annually even though every individual state must pay for it as well.

The Medicaid program alone covers more than 40 million Americans but is believed to not cover as much as 60% of families that need it.

The Medicare program is a program intended to supplement Senior Citizens’ Social Security income by offering them subsidized health care.

The two programs combined total around a trillion dollars annually in the federal budget.

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Federal Government Funding of Social Security

Social Security, a government run pension program for elderly people, is one of the highest costing programs of all time and is paid for entirely by payroll taxes.

The problem with Lyndon Johnson’s Social Security program is that there is currently not enough people in the work force to cover the Social Security spending.

It is expected that the Social Security program will not be able to pay full benefits within the next forty years when the average benefits per person that it will be able to afford is around 75% if nothing is done to reform the program.

Social Security spending hovers around a trillion dollars total annually and in 2008 became the biggest cost in the federal budget totaling more money than defense and healthcare spending.

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