The United States Economy and National Deficit


Title of Presentation: The United States Economy and National Deficit

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Description of Business Audience: The audience interested in this information includes economists and non-economists such as students, teachers and economic stakeholders.

Introduction: The recent US national deficit is dangerously high and may rise even higher.

Thesis Statement: High spending and high national deficit influence the economy negatively

I) High deficits leave the country with less to save or re-invest in the economy

The reason behind this is money that would have been saved ends up settling the deficit of national debts Additionally, the country cannot be able to save or re-invest due to the pressure of attending to other projects

II) The US government endeavors to undertake necessary measures to improve the economy

One of these measures involves using treasure securities and reducing government spending The other method applied to improve the economy involves auctioning off treasure securities to foreign and domestic investors

III) The US government works to reduce rather than eliminate the national deficit.

This is because National deficit arising from foreign debts helps maintain relationships with foreign countries Additionally, national deficit complements the economy when it is maintained at a particular level

Conclusion: managing the national deficit and national debt and other economic factors bears positive effects on a country’s economy.

Visual Explanation: The visual presentation on slide 3 is a representation of the total US national deficits vs. national debt increases from 2001 to 2012. This presentation offers comparison on how the two relate. The second visual representation on slide 5 is a graph of the country’s national debt spanning from 1960 to 2005. This graph indicates gradual but steady increase in the country’s national debt.


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Pakko, M. R. (2009). The U.S. Trade Deficit and the “New Economy”. Review, 81, 11-20.

Pollin, R. (2012). US Government deficits and debt amid the great recession: What the evidence shows. Cambridge Journal of Economics, 36, 1, 161-187.

Thornton, D. L. (November 01, 2012). The U.S. deficit/debt problem: A longer-run perspective. Federal Reserve Bank of St. Louis Review, 94, 6, 441-455.

Yochum, G. (2009). The Current Federal Debt and Deficit Debate in the U.S. Journal of Finance and Management in Public Services, 10, 2, 1-13


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