1. The data in the following table represents budget figures for the nation of Harmonia for 2016. Using this information, calculate the following values for the nation of Harmonia in 2016: Federal government expenditures on goods and services Transfer payments Tax revenue Interest payment on existing debt Seigniorage Newly-issued government bonds a. the budget deficit b. the primary budget deficit c. the uses of government funds d. the sources of government funds $840 million $145 million $735 million $95 million $20 million $325 million

1. The data in the following table represents budget figures for the nation of Harmonia for 2016. Using this information, calculate the following values for the nation of Harmonia in 2016: Federal government expenditures on goods and services Transfer payments Tax revenue Interest payment on existing debt Seigniorage Newly-issued government bonds a. the budget deficit b. the primary budget deficit c. the uses of government funds d. the sources of government funds $840 million $145 million $735 million $95 million $20 million $325 million

Principles of Economics 2e

2nd Edition

ISBN:9781947172364

Author:Steven A. Greenlaw; David Shapiro

Publisher:Steven A. Greenlaw; David Shapiro

Chapter30: Government Budgets And Fiscal Policy

Section: Chapter Questions

Problem 51P: A government starts off with a total debt of $3.5 billion. In year one, the government runs a...

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True or False: Federal spending has grown substantially in recent decades. By world standards, the U.S. government controls a relatively large share of the U.S. economy. A majority of the federal governments revenue Is collected through personal income taxes. Education spending is slightly larger at the federal level than at the state and local level. State and local government spending has not risen much in recent decades. Defense spending is higher now than ever. The share of the economy going to federal taxes has increased substantially over time. Foreign aid is a large portion, although less than half, of federal spending. Federal deficits have been very large for the last two decades. The accumulated federal debt as a share of GDP is near an all-time high.
A government starts off with a total debt of $3.5 billion. In year one, the government runs a deficit of 400 million. In year two, the government runs a deficit of 1 billion. In year three, the government runs a surplus of 200 million. What is the total debt of the government at the end of year three?
Why are expenditures such as crime prevention and education typically done at the state and local level rather than at the federal level?
Give some examples of changes in federal spending and taxes by the government that would be fiscal policy and some that would not.
In a recession, does the actual budget surplus or deficit fall above or below the standardized employment budget?
What are the main categories of U.S. federal government spending?
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