Chapter 16

Question 0

Why have we borrowed money in the past

Answer 0

Short and long time crisis and to fund large projects

Question 1

The largest source of federal income

Answer 1

Individual income tax

Question 2

Can not levy taxes on

Answer 2

Church’s and non profit organizations

Question 3

The gift tax implies after

Answer 3

10,000 dollars

Question 4

Why does the federal gov allowed to borrow money at such low rates

Answer 4

Great credit rating

Question 5

Who initiates the spending process

Answer 5

President

Question 6

The federal budget begins with

Answer 6

Federal agents

Question 7

Low income with an importing business with large gifts of money and no wealthy relatives prefer

Answer 7

Progressive income, low custom duties, low gift tax, and high estate tax

Question 8

Canal rolls, fees for passports, and patents are

Answer 8

Nontax revenues

Question 9

The congressional power to borrow money was granted by

Answer 9

Constitution

Question 10

The unemployment tax is a good illustration of

Answer 10

Federalism at work

Question 11

Military and education spending are

Answer 11

Controllable spending

Question 12

Social security benefits are

Answer 12

Uncontrollable spending

Question 13

Revenues collected as customs duties are not

Answer 13

A source of nontax money

Question 14

Most important aspect of the federal budget is the impact it has on

Answer 14

Public policy

Question 15

Spending that is mandatory unless the gov changes eligibility

Answer 15

Uncontrollable spending

Question 16

Congress can use its own discretion when

Answer 16

Raising or lowering taxes

Question 17

Congress relies heavily on_____ and ______ to do its budgeting

Answer 17

Committees and subcommittees

Question 18

Federal gov can tax on things that are______ to people

Answer 18

Dangerous

Question 19

The federal gov borrowed money in recent decades too

Answer 19

Pay previous debt and operate gov

Question 20

Money from the_______ helps pay for ss and Medicare

Answer 20

Payroll

Question 21

The process of creating the fed budget involves

Answer 21

Pres. And congress

Question 22

The budget process is cubersome but it helps what system

Answer 22

Checks and balances

Question 23

Both corporate and individual taxes are set at________ rates

Answer 23

Progressive

Question 24

One reason for the federal budgets importance is

Answer 24

It determines which programs will have money to operate

Question 25

Higher rates occur with

Answer 25

Progressive tax

Question 26

The federal budget begins with

Answer 26

An estimate from agencies on yearly spending

Question 27

Tax on production,sale, or consumption of goods

Answer 27

Excise tax

Question 28

Spending more than what comes in

Answer 28

Deficit financing

Question 29

Ruling that allows gov agency to function

Answer 29

Continual resolution

Question 30

The power to borrow money historically was seen as a way for the U.S. To

Answer 30

Meet the cost of both long and short term crisis

Question 31

More annual income received than spent

Answer 31

Surplus

Question 32

The presidents budget plan is referred to

Answer 32

The budget committee

Question 33

Today more than one in every five dollars spent goes to the

Answer 33

Federal debt

Question 34

Tax generally withheld from paycheck

Answer 34

Payroll tax

Question 35

The state budget does not affect the____

Answer 35

Federal budget

Question 36

To combat a crisis congress would

Answer 36

Borrow money

Question 37

A charge levied on borrowing money

Answer 37

Interest

Question 38

If congress were to tax exports…exporters would be forced to

Answer 38

Raise the cost of the export and lower profit

Question 39

A continued uncontrollable spending will likely

Answer 39

Affect federal budget and deficit financing

Question 40

Public debt today is measured in

Answer 40

Trillions

Question 41

The total outstanding debt of the nation

Answer 41

Public debt

Question 42

Sometimes the federal gov power to tax for nonrevenue purposes is denied bc

Answer 42

Interferes with a protected constitutional right

Question 43

What would have the most dramatic effect on the federal spending

Answer 43

War

Question 44

During the first 50 years congress raised money through

Answer 44

Imports

Question 45

Two of the largest categories of federal spending are

Answer 45

Social security and interest on public debt

Question 46

A tax that is set at a flat rate

Answer 46

Regressive tax

Question 47

The federal gov can borrow money at low interest rates also because of

Answer 47

Safest investments

Question 48

Congress can not tax state or local gov because

Answer 48

The constitution establishes a federal system which must not be destroyed by the federal gov