Question

How do we solve the problem of the federal budget? Do you think you can do better than our lawmakers in Washington? Why is it so complicated? Here's your chance to take a crack at it. Use the budget simulator below to try to balance the federal budget, or at least bring it under control. Now, before you even get started, you must seriously think about a couple of things: you can't just cut programs you don't like, without thinking about the political blowback and real-life consequences of these decisions. Who gets hurt, who gets helped, what powerful interests are going to punish or reward you for these choices. None of these choices are whimsical wish lists, they all have massive real-world consequences. (That is, they would if you were doing it for real, its just a simulation :)

Answer 1

A typical developing economy collects just 15 percent of GDP in taxes, whereas most of developed countries collect more than double of it, an estimate states that developed countries collect almost 40-45% of its GDP in taxes. While developing countries have to spend a lot for becoming a developed country; the question arises that- "Where are the budgets of these developed countries spent?"

The Answer to this is- We Spend almost 3/4th of our budgets on (According to USA budget spend in 2015):

• Social Security, unemployment and labor: 33%
• Medicare and Health: 27%
• Military: 16%

For Fiscal year 2019, the budget spend for Social Security, medicare and medicaid was expected to be around 62% of the total budget, while military spend was around 15% of which 2% were for overseas contingency operations.

We can work on maintaining global peace and try to reduce military spend, which will help us big time in reducing the deficits.