Saving our Nation's Future: An Intergovernmental Challenge

This is a speech given by the Comptroller General at the Outlook 2005 Conference before the National Press Club on February 2, 2005. As a federal official speaking at this state and local conference, it is important to note at the outset that in today's world governments, institutions, and individuals are increasingly interconnected and interdependent. This trend is occurring both internationally and domestically and among different economic and social sectors. From a federal, state, and local government perspective, this interconnection and interdependence involves a range of issues, including tax policy, education, the environment, health care, homeland security, social welfare, and transportation. I could talk about any number of intergovernmental challenges, but today I plan to brighten the lights and turn up the heat on an overarching problem that too many people seem content to put on the back burner. That problem is our nation's worsening financial condition and long-range fiscal outlook. We now confront three large and interrelated national deficits. The first is a large federal budget deficit. The second is a growing balance-of-payments deficit. And the third is an alarming personal savings deficit.