Economic Guided Reading Activity cont. LP 9 Day Taxes and Government Spending 4. Social is a form of payment for which the government receives neither goods nor services. 5. Although Medicaid spending is other programs, such as cancer research and occupational safety are considered spending. D. From Deficits to Debt Main Idea: If budget deficits are too deep or go on too long, the nation must borrow to meet its financial obligations. Borrowing increases the national debt, or money borrowed from others. 1. spending involves annual government spending in excess of collected. 2. The United States sells notes to make up for revenue shortfalls, but this leads to an increase in the debt. 3. One way public debt differs from debt is that the latter affects the debtor's power. Also, most of the national debt is debt we owe to while private debt is owed to others