The Federal Budget The federal budget is known as the infamous monetary reservoir from which money is distributed to various programs. Why does the federal budget plan cause such an outcry of approval or disapproval when it is proposed by the President each February? The money used in each fiscal year, which runs from October 1 of each year until the end of September of the following year, belongs to the people. Money is collected through income taxes, excise taxes (taxes on goods), and social insurance payroll taxes. Currently, the public is concerned about how they will receive a fair share of monetary allocations in such a slow economy. The federal deficit is back, meaning government spending exceeds increased revenue. The federal budget is an exercise in choices, and these choices will inevitably have a dramatic impact on individuals living in the United States. Historical View The current federal budget can be characterized by one word: deficit spending. It has been a way of life for the federal government since World War II. The last times federal budget expenditures were brought into balance with revenues were in 2000, 1998, 1969, and 1960. Before 1940, the federal budget was in balance, except in years of war and economic recession. There are many theories about the causes of persistent federal budget deficits over the past forty years. Many experts believe that the cause of the current account deficit has its origins in the political mistakes of the 1980s, such as reducing taxes and increasing defense spending. Others believe the American public demands more government benefits than they are willing to pay in taxes. However, complex budgets… half the paper… are more tied to their constituents. Conservatives argue that the federal government should also be held accountable for the spending. In particular, government programs must meet rigorous standards and accountability, whether the balance is balanced or not. Works Cited Cogan, John F. "Federal Budget." The concise encyclopedia of economics. October 05, 2003 .Crapo, Mike. “Federal budget”. Mike Crapo: United States Senator: Quick Facts. 06 October 2003. "Overview: The Problem in Brief." Public agenda. 05 October 2003 agenda.org/issues/overview.cfm?issue type=federal budget>.“The outlook in detail”. Public agenda. 05 October.2003