Budget and Gov't Spending

What is a household budget?

• A plan for government spending

• A plan for personal spending

• A plan for business spending

• A plan for charitable donations

What do you consider when creating a household budget?

• Needs and wants

• Only needs

• Only wants

• Neither needs nor wants

When creating a budget, what do people have to make choices about?

• How much money to save

• All of these

• How much money to spend

• How much money to invest

What is the overall plan for national government spending called?

• The state budget

• The local budget

• The federal budget

• The personal budget

What is mandatory spending?

• Spending that is required by law

• Spending that is optional

• Spending on luxury items

• Spending without a plan

Which of the following is an example of mandatory spending?

• Funding for national parks

• Military research

• Social Security

• Air traffic control

What is discretionary spending?

• Spending required by law

• Spending that is optional and decided yearly

• Spending without any planning

• Spending without limits

Which of the following is funded through discretionary spending?

• Social Security

• National defense

• Medicare

How do the president and Congress create the federal budget?

• They follow a predetermined budget from the previous year

• They negotiate and compromise to create a budget

• The president solely decides on the budget

• The budget is created by the Secretary of the Treasury

What does government debt refer to?

• Money that citizens owe to the government

• Money that the government owes to citizens and other countries

• Money that is printed by the government

• Money that is saved by the government