Quick Answer: What’S The Difference Between Mandatory And Discretionary Spending?

What is the difference between a deficit and a surplus economics?

What is a budget surplus and a budget deficit.

A budget surplus is when extra money is left over in a budget after expenses are paid.

A budget deficit occurs when the federal government spends more money that it collects in revenue.

A budget surplus is more beneficial to a government..

Which country has the highest deficit?

United StatesTop 20 countries with the largest deficitRankCountryYear1United States2017 EST.2United Kingdom2019 Q3 Only3India2018-19 EST.4Canada2017 EST.16 more rows

Is United States in debt?

At the end of fiscal year 2019, the total federal debt was $22.8 trillion dollars.

Which of the following is an example of government discretionary spending?

Which of the following is an example of government discretionary spending? defense spending.

Are all examples of mandatory spending?

Mandatory spending is simply all spending that does not take place through appropriations legislation. Mandatory spending includes entitlement programs, such as Social Security, Medicare, and required interest spending on the federal debt.

What are examples of discretionary spending?

Some examples of areas funded by discretionary spending are national defense, foreign aid, education and transportation.

Which is part of discretionary spending quizlet?

Discretionary spending is what the President and Congress must decide to spend for the next fiscal year through annual appropriations bills. Examples include money for such programs as the FBI, the Coast Guard, housing, education, space exploration, highway construction, defense, and foreign aid.

Who does the US owe money to?

States and local governments hold 5 percent of the debt. Foreign governments who have purchased U.S. treasuries include China, Japan, Brazil, Ireland, the U.K. and others. China represents 29 percent of all treasuries issued to other countries, which corresponds to $1.18 trillion.

What is the meaning of discretionary spending in economics?

Discretionary expenses are often defined as nonessential spending or, in other words, wants rather than needs. This means a business or household is still able to run even if all discretionary consumer spending stops. Meals at restaurants and entertainment costs are examples of discretionary expenses.

What is the difference between discretionary and mandatory spending quizlet?

What is the difference between mandatory spending and discretionary spending? Mandatory spending is spending that is required by current law and discretionary spending is spending that must be authorized by the government each year.

Is welfare a discretionary spending?

Discretionary spending does not include expenses for Medicare, Medicare, TANF, and other mandatory programs. By law, these are fixed expenses of the government budget.