The Causes of National Debt Are Directly Linked to the Illegal Federal Reserve System. We Must Abolish the Fed and Regain Control Over Our Money and Our Country.

The causes of national debt increases are numerous but are basically a consequence of the government spending much more money than it has, or ever will have, and borrowing money to cover their spending from the illegal Federal Reserve Banking System.

Ever since Richard Nixon took office and got rid of the gold standard, federal spending has gotten more and more out of control as the 2010 budget is already set to be more than $3.5 trillion, and that is not counting discretionary spending such as future bailouts.

While the federal budget rises, so does the federal deficit. The United States does not bring in anywhere close to what they would need to cover the federal budget and other expenditures through income taxes.

The biggest causes of the debt being as high as it is has been the United States spending astronomical amounts of money on fixing the economy; we spend ridiculous amounts of money on war and defense, and huge sums of money on Social Security, Medicare and Medicaid.

Causes of National Debt: Spending

The obvious reason for a national debt is that the amount of money that the United States federal government spends as opposed to the amount of money that they actually have.

While in the first two hundred years of the country, the United States did quite well with managing their budget. After Richard Nixon came to power, it all spiraled out of control.

In 1965, the federal government was spending around eleven thousand dollars per resident. In 1980, it had increased to nearly seventeen thousand dollars per person per year.

By 2000, that number hit more than twenty thousand dollars per year per person. Today, the number stands at more than twenty five thousand dollars annually per person.

Causes of National Debt: Deficit

The federal deficit had not really been a problem through the Kennedy and Lyndon Johnson Administrations as it was a deficit of just a few billion dollars. When Richard Nixon came to power, that would all change.

Richard Nixon took office with a budget surplus of three billion, but under his rule, the surplus would turn into a deficit of as much as twenty five billion dollars. Under Gerald Ford, despite the fact that he only served for two years, the deficit hit more than seventy billion dollars.

Under Jimmy Carter, the deficit had decreased some but rose back to seventy four billion at the end.

Ronald Reagan would put that number to shame as the ‘fiscal conservative’ increased the budget deficit to as much as two hundred and twenty one billion–two hundred and ninety billion under George H. W. Bush, and more than one trillion under George W. Bush.

Causes of National Debt: Entitlement Spending Growth

Most of the federal budget goes toward three single things: national defense, Social Security, Medicaid and Medicare. In 2010, federal defense spending will be more than seven hundred billion dollars.

In 2010, federal Social Security Spending will be around seven hundred billion dollars and is expected to increase greatly over the next few decades and hit more than five percent of the entire national GDP.

In 2010, Medicaid and Medicare spending will be nearly $750 billion and is expected to hit around ten percent of the national GDP over the next few decades.

For those that want freedom from this banking cartel fraudulent debt, join a DTSS U.S. Debt Discharge Membership Program today!