Question

1. Government spending required by laws other than appropriation acts is also known as what?
	a. Discretionary spending
	b. Budget spending
	c. Deficit spending
	d. Mandatory spending

2. What is the difference between discretionary and mandatory spending?
	a. Discretionary spending is determined by the president, and mandatory spending is determined by Congress.
	b. Discretionary spending cannot be changed without changing the law but mandatory spending can.
	c. Discretionary spending is determined by appropriation acts, and mandatory spending is determined by law.
	d. Discretionary spending is automatically adjusted when changes are made in mandatory spending.

3. Income received by government from taxes and other nontax sources is known as what?
	a. Expenditure
	b. Budget
	c. Debt
	d. Collections

4. Which of the following statements is most likely?
	a. Representatives do not have to consider the long- and short-term effects of budget decisions.
	b. Representatives consider the long- and short-term effects of budget decisions.
	c. Representatives consider only the long-term effects of budget decisions.
	d. Representatives consider only the short-term effects of budget decisions.

5. An itemized summary of projected income and expenses for a given period is known as what?
	a. Revenue
	b. Budget
	c. Constituent
	d. Function

6. Which term describes a situation where government collections exceed government spending for a given period, usually a fiscal year?
	a. Budget deficit
	b. Budget surplus
	c. National debt
	d. Balanced budget

7. What is the money spent to buy goods and services or to make transfer payments also known as?
	a. Budget
	b. Debt
	c. Expenditure
	d. Allowance

8. Government spending authorized annually through an appropriations act is also known as what?
	a. Discretionary spending
	b. Budget spending
	c. Collections spending
	d. Mandatory spending

9. Which of the following is most likely to result in increasing national debt?
	a. A decreasing budget deficit
	b. An increasing budget deficit
	c. A balanced budget
	d. A budget surplus

10. Which of the following is an example of a transfer payment?
	a. Federal Student Loans
	b. Supplemental Nutrition Assistance Program (SNAP, aka food stamps)
	c. Renewable energy programs
	d. National Aeronautics and Space Administration (NASA)

11. Which term describes a situation where government spending equals government collections for a given period, usually a fiscal year?
	a. Budget deficit
	b. Budget surplus
	c. National debt
	d. Balanced budget

12. What is the legal authority for a federal agency to spend money for specified purposes?
	a. Revenue
	b. Budgets
	c. Appropriations
	d. Constituents

13. What results from an accumulation of budget deficits?
	a. National debt
	b. National surplus
	c. Discretionary spending
	d. Mandatory spending

14. Consider the federal budget-making process. Which of the following statements is true?
	a. The president develops a budget from federal agency requests.
	b. Congress must accept the president's budget.
	c. Both A and B are correct.
	d. Neither A nor B are correct.

15. Payments by governments to people who do not supply goods, services, or labor in exchange for the payments are referred to as what?
	a. Remittances
	b. Transfer payments
	c. Securities payments
	d. Debt payments

16. If Congress increased government expenditures and decreased collections, which of the following is the most likely result?
	a. The budget would not change.
	b. The budget would move toward balance (if in surplus) or develop a deficit.
	c. The budget would move toward surplus (if in deficit); national debt would decrease.
	d. The budget would move toward surplus (if in deficit); national debt would increase

17. Which term describes a situation where government spending exceeds government collections for a given period, usually a fiscal year.
	a. Budget deficit
	b. Budget surplus
	c. National debt
	d. Balanced budget

Answer 1

1. answer D. Mandatory spending is Government spending required by laws other than appropriation acts.

Deficit spending is the amount by which spending exceeds revenue over a particular period of time, also called simply deficit, or budget deficit; the opposite of budget surplus

2. answer C. please note: mandatory by law and discretionary by act

3.Answer is D Collection

Expenditure is the out flow of money to another person or group to pay for an item or service.

Budget: is the estimate of income and expenditure for a certain time period.

Debt : it is the amount of borrowed money

4.