7.3 Flashcard

Front

What are the two main types of government spending? (Government Spending)

Back

Mandatory and discretionary spending

Front

What is the purpose of gift taxes? (Paying for Government)

Back

To avoid paying estate taxes by giving away property before death

Front

What is a source of nontax revenue mentioned in the document? (Paying for Government))

Back

Entrance fees at national parks

Front

Who begins the creation of the federal budget? (The Budget Process)

Back

The President

Front

What is the effect of increasing taxes, government spending, and borrowing money? (Fiscal and Monetary Policy)

Back

Causes the economy to shift

Front

What does monetary policy involve altering? (Fiscal and Monetary Policy)

Back

Amount of money in circulation and interest rates

Front

What does the government spend and borrow each year? (Fiscal and Monetary Policy)

Back

A similar amount to what it takes in

Front

What can happen to the economy if borrowing rates rise?

Back

The economy can slow down

Front

In what year was the Federal Reserve System created? (Monetary Policy)

Back

1913

Front

How long might it take for changes in fiscal and monetary policy to take effect? (Monetary Policy)

Back

Several months