United States Government: Democracy in Action

Chapter 20: Taxing and Spending

Student Web Activity

Introduction
The federal budget is used to predict and control revenue and spending. It also expresses the president's policies and priorities. The federal budget is just like a household budget, however, in that overspending leads to deficits. All annual deficits added together equal the national debt. Over the years, economists and other concerned citizens pose the same questions: How much debt is acceptable? How can we reduce the amount we owe? In this activity, you will analyze how much the debt has grown, and various opinions on how to reduce the debt.

Destination Title: Public Agenda: The Federal Budget

Note: Clicking on the link above will launch a new browser window.
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Directions
• Read the introductory information on the site.
• Analyze the graph "Federal Spending."
• Read the three "Consider the Choices."
• Study the bar graph of priorities.

Use the information you found to answer the following questions.

1
What was the projected federal deficit in 2009?
2
What was the national debt in 2009?
3
How did federal spending in constant dollars change from 2000 to 2007?
4
What are three options to dealing with federal deficits and the national debt?
5
Study the choices on the list of priorities. Identify your top three priorities, and explain why you chose them.
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