Why are interest payments considered mandatory spending in the federal budget?
A) They are considered mandatory spending because such payments are fixed at the time of borrowing and cannot be altered.
B) They are considered mandatory spending because the interest rates on federal debt are extremely high,and failing to pay accumulated interest would dramatically increase the total debt.
C) They are considered mandatory spending because not making such payments could endanger the government's credit rating,which could make it harder to borrow going forward.
D) They are considered mandatory spending because interest payments constitute the largest part of yearly government spending.
E) They are considered mandatory spending because most interest payments go to American households,and those citizens depend on the interest payments for their livelihoods.
Correct Answer:
Verified
Q5: _ is/are a mandated federal program that
Q6: Assuming all of the following are in
Q7: Between 2000 and 2010,real government outlays in
Q8: Mandatory outlays
A) usually change during the budget
Q9: Discretionary government spending includes payments made for
A)
Q11: Which of the following is considered discretionary
Q12: A budget is
A) a record of income
Q13: The largest portion of the federal budget
Q14: Transfer payments refer to funds that are
Q15: Mandatory outlays are different than discretionary outlays
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