[exDM69]

It requires energy to move objects in space, you'd need to add velocity (in the order of kilometers per second) to move objects out to a graveyard orbit. And once they are at a graveyard orbit, nothing would make them "spiral out and away" from earth. The lunar gravity is not strong enough at practical altitudes to do this (this is known as a Lissajous orbit [0], used sometimes to put objects to Earth-Moon L2 point).

Geostationary satellites are put into a graveyard orbit a little bit above the geostationary orbit (but they stay there).

Moving objects from lower altitudes up is not feasible due to the propellant requirements and the fact that the old satellites/debris are not made for that.

And you can't just chuck stuff away from Earth either (that needs 11km/s of velocity w.r.t the Earth in the first place), they will remain in a heliocentric orbit near the Earth and perturbations from the Earth, the Moon, and the planets may bring those objects back, travelling at interplanetary velocities. For example, the S-IVB stages of Apollo missions were sent to heliocentric orbit (with a gravity assist from the Moon), but the third stage of Apollo 12 eventually came back to Earth orbit in 2002 (and may come again in 2040) [1]

[0] http://en.wikipedia.org/wiki/Lissajous_orbit [1] http://en.wikipedia.org/wiki/J002E3