1.

Graph of US GDP relative to Debt

2. Graph of US GDP relative to US deficit spending

3. Graph of US GDP relative to US spending

4. In the period from 1981 to 1991, deficit sending as a percentage of GDP increased from
2.53% to 4.49%. In the next decade, the deficit spending declined and reached to in fact -2.27%
in the year 2000. From 2001 to 2008, it once gain went up to 3.19 % in 2008 from -1.25% in
2001. However, in 2009, it reached a very high level of 10.13% and to 8.9% in 2010.
5. Gross public debt in 1981 was 31.82%, which up very high of 60.05% in 1991. In 2000, it
dropped slightly to 56.56% because of increased revenue and reduced spending. Deficit spending
went up once again to 69.5% because of high spending, Bush Tax cut and economy entering into
the recession. After that, debt has continued to increase because of high level government
spending on government spending on account of social security benefits as well lower levels of
tax revenues because of slow economic growth ( 85.2% in 2009 and 93.13% in 2010).
6. Federal spending was 33.64% of GDP in 1981, which increased to 36.25% in 1982 because of
President Ronald Reagan's lower tax rates and increased military spending. In 1991, the federal
spending was 37.22% and it became 32.56% because of decreased military spending during the
Clinton era, increased), and increased tax revenue resulting from the Dot-com bubble. In 2009, the
spending was 42.83% of the GDP which was highest in the history of US on account of recession
and passing of the stimulus package by the government. However, as the economy recovered, the

spending reduced marginally to 40.91% in 2010.