Federal spending, budget, national deficit, and DOGE.
PRAY FIRST for Government officials to make decisions rooted in justice, compassion, and responsibility.
If any of you lacks wisdom, let him ask God, who gives generously to all without reproach, and it will be given him. – James 1:5
Government spending has a broad reach, from impacting the economy, society, and the daily lives of average Americans. Understanding how and why the government allocates resources is imperative to appreciating its broader implications, from public services to the national debt.
What Is Government Spending?
Government spending encompasses the total expenditure by federal, state, and local governments on goods, services, and public programs. It covers a wide range of areas, including healthcare, education, defense, infrastructure, and social security programs. These expenditures are intended to meet the needs of citizens, support economic growth, and address national challenges.
Annually, the U.S. federal government spends trillions of dollars, with major allocations going to Social Security, Medicare, Medicaid, national defense, and interest on the national debt. For the fiscal year 2024, federal spending was approximately $6.75 trillion—reflecting the growing demands on public programs and services.
On one hand, government spending drives economic stability, supports vulnerable populations, and invests in the nation’s future through education and infrastructure. However, excessive spending can lead to a ballooning deficit, inflation, and increased tax burdens on citizens. Balancing these benefits and drawbacks requires careful planning and oversight.
Programs funded by government spending, such as Social Security, Medicaid, and food assistance, provide vital support to millions of Americans. Nevertheless, some communities, particularly rural areas and underserved populations, may feel overlooked due to unequal resource distribution.
The Federal Deficit and National Debt
The federal deficit occurs when government spending exceeds revenue in a given fiscal year. The national debt, on the contrary, is the cumulative amount the government owes due to borrowing over time. As of 2024, the U.S. national debt exceeds $32 trillion, a figure that continues to grow due to persistent deficits.
Deficits have surged over the past two decades, largely caused by factors such as tax cuts, increased military spending, economic stimulus measures, and rising healthcare costs. Economic challenges like recessions and the COVID-19 pandemic further exacerbated the issue.
If left unchecked, a growing deficit could lead to higher interest rates, reduced government investment in critical areas, and a greater burden on future generations.
Balancing the Budget: Is It Achievable?
Balancing the federal budget means ensuring that government revenues match or exceed expenditures. While this has been achieved in the past, such as during the late 1990s, it is a challenging goal in today’s economic and political climate.
To balance the budget, policymakers would need to implement a combination of spending cuts, revenue increases, or both. However, cutting essential programs could harm vulnerable populations, while raising taxes may face political resistance. Striking this balance requires bipartisan cooperation and long-term strategic planning.
The federal government employs various strategies to manage spending and address deficits, including budget caps, tax reforms, and spending reviews. Oversight is conducted by entities like the Congressional Budget Office (CBO) and the Government Accountability Office (GAO), which provide independent analyses and recommendations.
If government spending continues to rise, high deficits may lead to:
Economic Instability: Increased borrowing can drive up interest rates and reduce private sector investment.
Higher Taxes: Future generations may face increased tax burdens to address mounting debt.
Reduced Public Trust: Persistent fiscal challenges could erode confidence in the government’s ability to manage resources effectively.
Government spending also directly influences the cost of living and economic mobility for everyday Americans. For instance, higher taxes to fund public programs could strain household budgets, while inadequate investment in infrastructure or education could limit economic opportunities.
DOGE
The newly established Department of Government Efficiency aims to streamline federal operations, reduce waste, and enhance the effectiveness of government programs. Its scope includes auditing existing agencies, implementing cost-saving measures, and promoting best practices across all levels of government. In the short term, this department is expected to identify and eliminate redundant processes, leading to immediate budgetary savings. Long-term ramifications include a more transparent and accountable government, improved public trust, and a significant reduction in the national deficit. Many hope that this department could pave the way for sustainable fiscal policies and in turn lead to a more resilient economy.
Why It Matters and How We Can Respond
Government spending is a complex but crucial issue that affects every aspect of American life. Understanding government spending is more than a civic duty; it is a call to stewardship. Scripture emphasizes the importance of managing resources wisely and caring for the vulnerable. Proverbs 21:5 reminds us, “The plans of the diligent lead surely to abundance, but everyone who is hasty comes only to poverty” (ESV). This verse encourages thoughtful and responsible decision-making, both individually and collectively.
As we pray, we can lift up our leaders as they advocate for fair and equitable spending that uplifts all members of society while also being responsible for balancing spending and not letting debt get out of control. By praying consistently, engaging in informed discussions, supporting community initiatives, and holding leaders accountable, we can reflect Christ’s love through action.
HOW THEN SHOULD WE PRAY:
— Pray for vulnerable populations and that resources are allocated to those in need, disparities are addressed, and that America continues to help the ‘least of these’ into the next four years. Give justice to the weak and the fatherless; maintain the right of the afflicted and the destitute. Psalm 82:3
— Pray for unity among policymakers to work together for the common good, transcending political divides. I urge that supplications, prayers, intercessions, and thanksgivings be made for all people, for kings and all who are in high positions, that we may lead a peaceful and quiet life, godly and dignified in every way. 1 Timothy 2:1-2
CONSIDER THESE ITEMS FOR PRAYER:
- Pray for God to direct the President, Congress, fiscal responsibility and stewardship.
- Pray for unity and collaboration among government officials.
- Pray for members and employees of the federal government as work to fund programs around the nation
- Pray for all members of our federal leadership to appropriate funding based on compassion.
Sources: Congressional Budget Office, Congressional Budget Office, Brookings Institution, National Taxpayers Union Foundation, whitehouse.gov, Treasury.gov, Bureau of Economic Analysis, U.S. Government Accountability Office
