Exploring the Federal Budget: Sources and Allocations

The video explains how the U.S. federal government spent about $6 trillion in 2022, which is 25% of GDP. Federal spending is divided into mandatory, discretionary, and interest payments. Mandatory spending, the largest portion, includes Social Security and Medicare. Discretionary spending covers areas like military and foreign aid. Interest payments account for 8% of spending. The government funds this through taxes and borrowing, with a 2022 deficit of 5.5% of GDP. The video also discusses the rising federal debt and provides resources for further learning.

What was the total federal spending in 2022?

• $6 trillion

• $6.5 trillion

• $4.9 trillion

• $5 trillion

What percentage of the GDP did federal spending account for in 2022?

• 15%

• 30%

• 21%

• 25%

Which program is not included in mandatory spending?

• Social Security

• National parks

• Medicare

• Medicaid

What percentage of federal spending was discretionary in 2022?

• 25%

• 15%

• 20%

• 30%

What percentage of federal spending was allocated to foreign aid in 2022?

• 10%

• 3%

• 5%

• Less than 2%

How much of federal spending was financed by taxes in 2022?

• 75%

• 80%

• 65%

• 70%

What was the primary source of federal tax revenue in 2022?

• Payroll taxes

• Corporate taxes

• Other taxes

• Individual income taxes

What percentage of federal spending went to interest payments on the debt in 2022?

• 6%

• 8%

• 10%

• 12%

What was the federal deficit as a percentage of GDP in 2022?

• 3%

• 5.5%

• 4.5%

• 6%

Which event did not contribute to a significant rise in federal debt?

• None of the above

• COVID-19 pandemic

• Great Recession of 2007-2008

• Tech boom of the late 1990s