Question 1

If the government decreased urban welfare payments by a dollar for every dollar increase in farm subsidies,which of the following is the likely net effect?

Accepted Answer

The net effect on the budget deficit would likely be no change because the decrease in urban welfare payments would offset the increase in farm subsidies, keeping the overall government spending level constant.

Question 2

A continuing resolution is:

Accepted Answer

A continuing resolution is an agreement that allows agencies to spend at the rate of the previous year's budget in the absence of a new budget agreement being reached. It is typically used when Congress fails to pass appropriations bills before the start of the new fiscal year.

Question 3

When a budget is not approved in time,_____.

Accepted Answer

When a budget is not approved in time, agencies operate on the basis of continuing resolutions which allow them to continue to operate at current funding levels until a new budget is passed.

Question 4

One way of improving the federal government budget process is to:

Accepted Answer

Switching to a two-year or biennial budget can improve the federal government budget process by providing more stability and allowing for better long-term planning. This approach can reduce the frequency of budget negotiations and the potential for government shutdowns, thus improving efficiency and predictability in government funding and operations.

Question 5

Drawbacks of the federal government budget process include:

Accepted Answer

Continuing resolutions allow for funding to continue for programs without proper evaluation of their effectiveness, which can lead to inefficient use of funds.

Question 6

Problems with the federal government budget process include:

Accepted Answer

The federal budget process is criticized for being overly detailed, allowing Congress to insert earmarks and reward specific interests, which can lead to excessive spending without sufficient restraint.

Question 7

A(n)_____ provides guaranteed benefits for those who qualify under government transfer programs such as Social Security or Medicare.

Accepted Answer

An entitlement program is a government program that provides guaranteed benefits to those who meet certain eligibility criteria, such as Social Security and Medicare.

Question 8

If the government increased defense spending by $1 million and laid off enough Justice Department employees to decrease the Department of Justice budget by $1 million,which of the following is the likely net effect?

Accepted Answer

The increase in defense spending is offset by the decrease in the Department of Justice budget, resulting in no net change in government spending. Therefore, the budget deficit remains unchanged.

Question 9

A possible budget reform involves:

Accepted Answer

Simplifying the budget document by focusing on major groupings and eliminating line items would make the budget easier to understand and navigate for both elected officials and the general public. This would allow for more efficient decision-making and budget management. The other options may not necessarily lead to positive budget reforms or outcomes.

Question 10

Which of the following would decrease the size of a federal budget deficit?​

Accepted Answer

An increase in taxes would increase government revenue and decrease the size of a federal budget deficit.

Question 11

Which of the following is not a problem associated with the U.S.federal budget process?

Accepted Answer

The lack of detail in the budget is not a problem associated with the U.S. federal budget process. In fact, the budget is usually very detailed, with specific allocations for different programs and agencies. Other options listed, such as the lengthy budget process, failure to meet deadlines, and uncontrollable budget items, are well-known problems associated with the federal budget process. The congressional committee framework can also create obstacles and delays in the process.

Question 12

Suppose that government purchases of goods and services increase by $200 and at the same time lump-sum taxes increase by $200.Which of the following is true in this case?

Accepted Answer

The answer of Suppose that government purchases of goods and...

Question 13

Problems with the federal government budget process include:

Accepted Answer

The fact that most of the expenditures are for entitlement programs creates difficulties in making significant changes in government spending without causing backlash from affected groups. This limits the government's ability to address other budgetary concerns, such as addressing the deficit or increasing spending in other areas.

Question 14

If government increased Social Security benefits and decreased the salaries of government workers by the same amount,which of the following is the expected immediate effect?

Accepted Answer

The answer of If government increased Social Security benefits and...

Question 15

The problem with a detailed federal government budget is that:

Accepted Answer

A detailed federal government budget reduces the flexibility of discretionary fiscal policy because it sets specific funding amounts for each program, making it harder for policymakers to quickly adjust spending priorities in response to changing economic conditions. This can limit the government’s ability to stimulate or restrain economic growth as needed.

Question 16

A biennial budget:

Accepted Answer

A biennial budget allows cabinet members to focus more on running their agencies over a two-year period, reducing the frequency of budget deliberations compared to an annual budget.

Question 17

Which of the following is true of the federal budget process in the U.S.?

Accepted Answer

Most federal outlays are determined by existing laws, such as entitlement programs like Social Security and Medicare, as well as interest payments on the national debt. Therefore, Congress has limited discretion in determining where funds are allocated within the federal budget.

Question 18

If the U.S.government spent $20 million paying people to dig holes in 2005 and then spent $30 million paying the same people to fill the holes up again that same year,we would expect the net effect to be a(n):

Accepted Answer

The net effect of spending $20 million to dig holes and then $30 million to fill them up again would be an increase in the budget deficit as government purchases of goods and services increased by $50 million. This is because both actions involve direct government spending on services, totaling $50 million, not transfer payments or a partial increase based on the difference in spending.

Question 19

Simplifying the budget document by concentrating only on major groupings and eliminating line items would:

Accepted Answer

The answer of Simplifying the budget document by concentrating only...

Question 20

Because deadlines are frequently missed,budgets typically run from year to year based on _____.

Accepted Answer

Continuing resolutions are used when Congress cannot agree on a budget by the deadline, providing temporary funding until a budget can be passed. As deadlines are frequently missed, budgets often run on continuing resolutions from year to year.

Quiz 12: Federal Budgets and Public Policy

If the government decreased urban welfare payments by a dollar for every dollar increase in farm subsidies,which of the following is the likely net effect?

A continuing resolution is:

When a budget is not approved in time,_____.

One way of improving the federal government budget process is to:

Drawbacks of the federal government budget process include:

Problems with the federal government budget process include:

A(n) _____ provides guaranteed benefits for those who qualify under government transfer programs such as Social Security or Medicare.

If the government increased defense spending by $1 million and laid off enough Justice Department employees to decrease the Department of Justice budget by $1 million,which of the following is the likely net effect?

A possible budget reform involves:

Which of the following would decrease the size of a federal budget deficit?

Which of the following is not a problem associated with the U.S.federal budget process?

Suppose that government purchases of goods and services increase by $200 and at the same time lump-sum taxes increase by $200.Which of the following is true in this case?

Problems with the federal government budget process include:

If government increased Social Security benefits and decreased the salaries of government workers by the same amount,which of the following is the expected immediate effect?

The problem with a detailed federal government budget is that:

A biennial budget:

Which of the following is true of the federal budget process in the U.S.?

If the U.S.government spent $20 million paying people to dig holes in 2005 and then spent $30 million paying the same people to fill the holes up again that same year,we would expect the net effect to be a(n) :

Simplifying the budget document by concentrating only on major groupings and eliminating line items would:

Because deadlines are frequently missed,budgets typically run from year to year based on _____.

Quiz 12: Federal Budgets and Public Policy

If the government decreased urban welfare payments by a dollar for every dollar increase in farm subsidies,which of the following is the likely net effect?

A continuing resolution is:

When a budget is not approved in time,_____.

One way of improving the federal government budget process is to:

Drawbacks of the federal government budget process include:

Problems with the federal government budget process include:

A(n) _____ provides guaranteed benefits for those who qualify under government transfer programs such as Social Security or Medicare.

If the government increased defense spending by $1 million and laid off enough Justice Department employees to decrease the Department of Justice budget by $1 million,which of the following is the likely net effect?

A possible budget reform involves:

Which of the following would decrease the size of a federal budget deficit?​

Which of the following is not a problem associated with the U.S.federal budget process?

Suppose that government purchases of goods and services increase by $200 and at the same time lump-sum taxes increase by $200.Which of the following is true in this case?

Problems with the federal government budget process include:

If government increased Social Security benefits and decreased the salaries of government workers by the same amount,which of the following is the expected immediate effect?

The problem with a detailed federal government budget is that:

A biennial budget:

Which of the following is true of the federal budget process in the U.S.?

If the U.S.government spent $20 million paying people to dig holes in 2005 and then spent $30 million paying the same people to fill the holes up again that same year,we would expect the net effect to be a(n) :

Simplifying the budget document by concentrating only on major groupings and eliminating line items would:

Because deadlines are frequently missed,budgets typically run from year to year based on _____.

Which of the following would decrease the size of a federal budget deficit?