Most of the government budget is mandatory spending through programs like Medica
ID: 2440218 • Letter: M
Question
Most of the government budget is mandatory spending through programs like Medicare and Social Security, and much of the rest is politically difficult to alter. Because of this:
the amount of spending is unlikely to be implemented as economists suggest.
most spending is geared to perform as an automatic stabilizer, so that Congress is in fact largely irrelevant when it comes to providing a fiscal response to a recession.
fiscal policy that involves raising taxes is more likely to be implemented than fiscal policy that involves borrowing money.
fiscal policy is always undertaken only when there is a national crisis that motivates voters to seek change.
the amount of spending is unlikely to be implemented as economists suggest.
most spending is geared to perform as an automatic stabilizer, so that Congress is in fact largely irrelevant when it comes to providing a fiscal response to a recession.
fiscal policy that involves raising taxes is more likely to be implemented than fiscal policy that involves borrowing money.
fiscal policy is always undertaken only when there is a national crisis that motivates voters to seek change.
Explanation / Answer
Ans:
the amount of spending is unlikely to be implemented as economists suggest.
As most of the government spending is allocated to programs like Medicare and Social Security, the amount of government spending is unlikely to be implemented as suggested by economists.
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