CBO projects, that if current laws and policies remained unchanged, the federal budget would show a deficit of $1.3 trillion for fiscal year 2010. At 9.2 percent of gross domestic product (GDP), that deficit would be slightly smaller than the shortfall of 9.9 percent of GDP ($1.4 trillion) posted in 2009. Last year's deficit was the largest as a share of GDP since the end of World War II, and the deficit expected for 2010 would be the second largest. Moreover, if legislation is enacted in the next several months that either boosts spending or reduces revenues, the 2010 deficit could equal or exceed last year's shortfall. Debt Of the more than $7.5 trillion in outstanding public debt at the end of 2009, domestic investors such as mutual funds, state and local governments, Federal Reserve banks, commercial banks, insurance companies, and individuals owned 52 percent ($4.0 trillion), and foreign investors, such as private foreign entities and central banks, held 48 percent ($3.6 trillion). Under current laws governing federal spending and revenues, during this decade debt held by the public is poised to climb to the highest levels recorded since the early 1950s (when measured relative to the size of the U.S. economy). Spending Since September 2001, lawmakers have appropriated about $1.1 trillion (including $130 billion so far in 2010) for operations in Iraq and Afghanistan and for other war-related activities. That figure could rise if additional appropriations are required later this year to support the planned increase in troop deployments to Afghanistan. Outlays this year are expected to total at least $165 billion. CBO estimates that the spending increases and tax reductions resulting directly from the American Recovery and Reinvestment Act of 2009 (popularly referred to as “the stimulus bill” will peak in fiscal year 2010, adding about $400 billion to the deficit this year. That legislation accounted for approximately $200 billion of the 2009 deficit, and CBO expects that it will cost more than $860 billion over the 2009-2019 period. That amount is about $75 billion more than originally estimated. CBO estimates that the program will have a net cost of $99 billion over its lifetime—much less than originally expected. In March 2009, CBO estimated the cost to be $356 billion, but since then, market conditions have improved, and many institutions, including several large banks, have repurchased the preferred stock that they sold to the government. Congressional Budget Office - The Budget and Economic Outlook: Fiscal Years 2010 to 2020 People wonder why our nation is debt? it's really very simple, you cannot continue to pay your bills on one credit card with another credit card and not expect that someday we will have to pay that back. One other issue that does not get much play at least in my opinion is the MASSIVE amount of waste our Govt. is famous for one of them is defense spending and DOE spending. Want a really great example of that look no further than Yucca Mtn. want another one in defense, you can start with the comanche helicopter, all the way to the C-17 and right on through how the US Military disposes of assests. Its time our Govt. came to realize that while some may want it to be the end all and be all for everyone, they simply cannot afford to do so. When Govt. is the largest growth employer there will come a time that even those employee's will be faced with the same reality that the rest of the nation is faced with and that is lack of funds to pay for their existance.