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by BlastRoom
Distinguish an annual budget gap from accumulated federal debt and how deficits are financed.
#us_hs_economics
20 questions
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In one fiscal year, the federal government spends $5.0 trillion and collects $4.6 trillion. What does the $0.4 trillion difference represent?
What does the national debt measure?
During a fiscal year, revenue is $3.2 trillion and outlays are $3.0 trillion. What is the $0.2 trillion difference called?
A news report says the federal budget had a deficit this year. What does that statement describe?
Why is a $700 billion annual deficit not the same figure as the national debt?
A government begins with $14.0 trillion in debt, then runs deficits of $0.8 trillion and $0.5 trillion in the next two years. Ignoring interest and other changes, what is the ending debt?
Use the illustrative table. By how much did cumulative debt increase from 2022 to 2024?
Use the illustrative table. What debt total belongs in the blank for 2023, assuming the listed deficits are the only changes?
Federal outlays are $5.2 trillion and revenues are $4.7 trillion this year. What is the budget deficit?
A government starts with $12.0 trillion in debt, then has deficits of $1.0 trillion and $0.4 trillion followed by a $0.2 trillion surplus. Ignoring interest, what is its ending debt?
When federal spending exceeds federal revenue for a year, how can the government finance the gap?
Which statement about who holds the Treasury securities that make up the federal debt is accurate?
When the Treasury sells a bond to cover a deficit, what does the buyer receive?
If policymakers choose to use a budget surplus to reduce outstanding federal debt, what action fits that choice?
Use the illustrative table. What was the annual deficit in 2023?
Use the illustrative table. In which year did cumulative debt first exceed $16 trillion?
Use the illustrative table. What relationship does the table show between annual deficits and debt totals?
As the national debt grows, which federal budget item grows as a direct result?
If interest rates rise while the government must refinance maturing debt, what is the likely effect on future federal interest costs?
Why can a growing national debt reduce lawmakers' fiscal flexibility in later years?
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