Balanced Budget Amendment to the US Constitution - Essay Sample

There is a perpetual topic in the United States on a balanced budget amendment to the constitution that has caused intense debate in the United States. A balanced budget denotes a situation where the expenditure does not exceed or is equal to the income received (Costello et al., 2017). Since the 2008 Recession, there has been a significantly high budget deficit in the United States. Therefore, the debate is centered on the question of whether the balancing government is important or not. It has received different opinions from both its advocates and critics. This presentation, thus, presents the beliefs of the supports and opposers of the balanced government budget.

Is your time best spent reading someone else’s essay? Get a 100% original essay FROM A CERTIFIED WRITER!

Order now

Supporters of a balanced government budget argue that the US budget should remain within what the country gets from tax income and it is unessential for the deficit to cater for spending (Miller, 2007). They argue that since the majority of the US citizen survive within their income, the government should also do the same. Besides, the US constitution stipulates that the governors should provide a balanced budget from at least 44 states out of the 50 states, and the Parliament should approve 41 of them. They also hold that it presents rampant government expenditure since it may decrease GDP and lower living standards for the whole nation. Presently, the US debts stand at $23.9 trillion and persist growing every year. Therefore, they hold that with a balanced government budget, it would decrease the interest rate due to the presence of low debt accumulated in the United States. They also claim that with a balanced government budget per year, the US will grow rapidly since they are a lower decrease in debt accumulated by its government. Thus, their views illustrate that a balance government budget has significant long-run impacts in the United States.

Conversely, critics of balanced budget argue that it is hard to implement in the United States. Whereas the Congress may be determined to formulate a budget for the coming financial year, the government’s incoming revenue is unknown (Oliff et al, 2013). Therefore, the constitutional amendment would work with financial projections instead of actual figures. In most cases, projections may produce inaccurate data that could cause an imbalanced budget. They also argue that balanced budget may endanger the economy of the United States during recessions (Islam & Verick, 2011). It may cause weak sales that may initiate low profits, which may lead to laying employees. Besides, it may influence the government to perform cutbacks, mainly when a recession occurs. Therefore, this may lead to undesired economic activities that may further deteriorate the recession.

I feel that balanced budget is significant since it may decrease deficit and the interest rates in the United States, which are vital for its economic growth. From the utilitarian perspective, they concentrate on the outcomes rather than on the actions (Conway & Gawronski, 2013). Therefore, they would choose a decision that would generate the greatest good for most US citizens.

It is evident that a balanced budget requires a constitutional amendment by the Congress for it be effective. It would ban the government of the United States from spending more finances than its incomes in a particular financial year. While its supports embrace it since it eradicates deficit and prevents extensive expenditure by the government, its critics argue it is hard to implement and may endanger the US economy. From a utilitarian perspective, since it would generate the greatest good for most of the United States, the US government should embrace it.

Some questions are essential to be answered concerning the issue of a balanced government budget amendment to the constitution of the US. For instance, would a balanced budget generate the greatest good for most individuals? Do you think ethical values are considered in constitutional amendments? Is it ethical to implement a balanced budget in a nation at risk of recession? While answering them, it would ensure that people think ethically before deciding whether a balanced payment should be implemented or not.

References

Conway, P., & Gawronski, B. (2013). Deontological and utilitarian inclinations in moral decision making: a process dissociation approach. Journal of personality and social psychology, 104(2), 216. https://www.researchgate.net/publication/234018664_Deontological_and_Utilitarian_Inclinations_in_Moral_Decision_Making_A_Process_Dissociation_Approach

Costello, A. M., Petacchi, R., & Weber, J. P. (2017). The impact of balanced budget restrictions on states' fiscal actions. The Accounting Review, 92(1), 51-71. https://doi.org/10.2308/accr-51521

Islam, I., & Verick, S. (2011). The great recession of 2008–09: Causes, consequences and policy responses. In from the great recession to labour market recovery (pp. 19-52). Palgrave Macmillan, London. http://ftp.iza.org/dp4934.pdf

Miller, M. (2007). The Medicare Advantage Program and MedPAC Recommendations. Testimony before the House Budget Committee,” Medicare Payment Advisory Commission. http://67.59.137.244/documents/062807_Housebudget_MedPAC_testimony_MA.pdf

Oliff, P., Palacios, V., Johnson, I., & Leachman, M. (2013). Recent deep state higher education cuts may harm students and the economy for years to come. Center on Budget and Policy Priorities, 19. https://www.cbpp.org/research/recent-deep-state-higher-education-cuts-may-harm-students-and-the-economy-for-years-to-come