President Bill Clinton announced on Sept. 30 the first budget surplus in nearly 30 years, and after the numbers were reviewed, the 1998 surplus is about $70 billion.

There are many factors that contributed to the surplus, said Alfred Ho, assistant professor of political science.

“It depends on the expenditure; it is an annual concept,” he said. “Every year, you have tax revenues and other funds coming in. This year we had more money than the expenditure, thus resulting in a surplus.”

The surplus is the largest in U.S. history.

“This is the largest surplus on record, and as a percentage of our economy, the largest one since the 1950s,” Clinton said in an Associated Press article. “Our economy is the strongest in a generation. That’s why we see the deficit clock has become a surplus clock. It will tally the growing opportunities of the 21st century. It is a landmark achievement for all the American people. And it will be a gift-giving achievement for generations to come.”

The strength of the economy is a major force in determining the surplus, Ho said. The unemployment rate is the lowest in 28 years, the percentage of Americans on welfare is the lowest in 29 years, and the inflation rate is the lowest in 33 years, he said.

“The economy is doing quite well, and now the government has stable revenue,” Ho said. “Plus, Congress passed welfare reform, which kept hold of the expenditure.

“Having partisanship helps too because it holds down the amount of programs approved. Also, since we have a surplus, we don’t have to pay interest, which helps out a lot too,” he said.

Now, the federal government has to decide how to deal with the surplus.

“Right now, they are still debating on what to do with it,” Ho said. “The president has appropriated some funds for education and some other programs. The president wants to set aside most of the surplus to save social security, but it is not clear when they will make a decision.”

Ho said he believes Congress will go along with the president’s plans to save Social Security.

“I think that they will put some of the surplus into Social Security,” he said. “I think Congress will go along with the president’s impartial plan because they will probably fear a backlash, and they will spend it on Social Security.

“If they don’t take the opportunity now, we will really be in trouble in 10 to 20 years, ” Ho said. “It will be very interesting to see how politics play out because of this.”

The surplus has sparked debate in many congressional races.

“It depends on what the White House does,” he said. “If they want to push the issue and make it one of their main platforms, it will have some effects on some elections. It all depends on what Democrats do.”

Dianne Rahm, associate professor of political science, warns that Americans should not get too excited about the surplus.

“One year’s budget does not determine anything,” Rahm said. “‘Will this be a sustained trend?’ is the question that affects the taxpayer because one year’s surplus is not a long term.”

Rahm said there are two main things to consider when talking about debt — the annual deficit and the total amount of the United States deficit.

“In one year there was no deficit, but the overall debt is still enormous,” she said.