Understanding the Proposed Tax Changes

What is the main focus of President Trump's new budget plan?

• Increasing tariffs on domestic goods

• Reducing spending on infrastructure

• Eliminating federal taxes on tips, overtime, and Social Security benefits

• Increasing federal taxes on all income

How might the elimination of taxes on tips affect workers in the service industry?

• It would require them to work more hours

• It could increase their take-home pay

• It could decrease their take-home pay

• It would have no effect on their income

What is the proposed method to compensate for the loss in federal revenue due to tax cuts?

• Borrowing more money from international banks

• Reducing government spending

• Increasing income taxes

• Relying on revenue from tariffs

What is a potential risk associated with relying on tariffs to fund the tax cuts?

• Tariffs will not affect the economy

• Tariffs could lead to decreased consumer prices

• Tariffs are unpredictable and could lead to higher consumer costs

• Tariffs are a stable source of revenue

What is the tension between President Trump and some Republicans in Congress regarding the budget plan?

• Whether to increase military spending

• Whether to cut spending on Social Security and Medicare

• Whether to increase taxes on the wealthy

• Whether to reduce tariffs on foreign goods

What historical example is given to illustrate cooperation in saving Social Security?

• The New Deal

• The Affordable Care Act

• The agreement between Ronald Reagan and Tip O'Neal in the 1980s

• The Tax Cuts and Jobs Act

How might tariffs impact consumer prices according to the discussion?

• They could increase consumer prices

• They will have no impact on consumer prices

• They will decrease consumer prices

• They will stabilize consumer prices

What is a potential consequence of tightening Medicaid eligibility?

• Fewer people will qualify for Medicaid

• More people will qualify for Medicaid

• Medicaid will cover more services

• Medicaid will become more expensive

What is a key concern about the proposed tax cuts and their impact on the national debt?

• They will eliminate the national debt

• They will immediately reduce the national debt

• They will have no impact on the national debt

• They could increase the national debt if not offset by other revenue

What is the potential impact of the tax changes on retirees who own their homes?

• They may benefit from the tax changes

• They may face higher taxes

• They will see no change in their financial situation

• They will have to sell their homes