Topic 8.3 & 8.4 Quiz

Government spending that is required by existing laws to spend on certain programs.

• Revenue

• Discretionary spending

• Mandatory spending

• Fiscal policy

When the government spends more money than it takes in.

• Budget deficit

• Revenue

• Discount rate

• Federal funds rate

Government spending determined by the President and Congress each year in the budget and appropriations process.

• Revenue

• Discretionary spending

• Mandatory spending

• Fiscal policy

Check Understanding The portion of the budget about which lawmakers today make year-to-year spending decisions is approximately

• two thirds of the budget.

• all of the budget.

• one third of the budget.

• one half of the budget.

Identify About how much of the federal government’s discretionary spending currently goes toward defense?

• about one eighth

• about one fourth

• about half

• about three fourths

What problems are associated with high national debt?

• Can slow economic growth-lower GDP

• Lessens funds available for business investment

• More difficult to fund government projects

• All are correct

Teachers are paid through what level of taxes?

• federal

• local

• state

Museums and city parks are paid for by _________________

• state taxes

• Federal taxes

• local taxes

Both state and national taxes pay for _____________

• schools

• buses

• roads

• Nasa

Which is the largest component of government receipts?

• corporate taxes

• excise taxes

• personal income taxes

• fuel taxes