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Economics (MindTap Course List)

13th Edition
Roger A. Arnold
ISBN: 9781337617383

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BuyFindarrow_forward

Economics (MindTap Course List)

13th Edition
Roger A. Arnold
ISBN: 9781337617383
Textbook Problem

Evaluate each of the following proposals for reform in terms of the material discussed in this chapter:

  1. a. Linking all spending programs to visible tax hikes
  2. b. A balanced-budget amendment stipulating that Congress cannot spend more than total tax revenues
  3. c. A budgetary referendum process whereby the voters actually vote on the distribution of federal dollars to the different categories of spending (x percentage to agriculture, y percentage to national defense, etc.) instead of letting elected representatives decide.

(a)

To determine

Evaluation of linking spending programs to visible hikes in tax.

Explanation

When all spending programs are linked to a visible hike in tax will be able the voters to visible the cost for planned legislation...

(b)

To determine

Evaluate whether the congress can spend more revenue when amending the balanced budget 

(c)

To determine

Evaluate the situation when people vote for the distribution of federal dollars to different categories of spending.

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