Deficit
What is a deficit?
an amount by which something is too small
Does debt continue through generations?
Yes, debt can linger throughout generations and force the younger generation to have to pay for it.
How many categories does federal spending have?
3: balanced budget, budget surplus, and budget deficit
What is the biggest cause of U.S debt?
Rising costs in healthcare
What is the capital of the U.S?
Washington D.C.
How many causes of deficit are there?
4 defined, there could be other causes
Why does inflation go up with debt?
The government prints more money to try and pay off their debt.
How does the government raise money to pay off debt?
Treasury Bonds, Notes, and Bills
What is the current National Debt?
Around 36.21 trillion
How many states are there in the U.S?
50
How many types of deficit are there?
3: fiscal, revenue, and primary
The government will sometimes cut what to manage their debt
Essential services; education, healthcare, and infrastructure, etc.
How much did the federal government spend in 2024?
6.75 trillion
When was the last time the U.S had a balanced budget?
2001
What is the second most common language in the U.S?
Spanish
What state has the highest deficit?
New Jersey (2006-2020)
What is the crowding-out effect?
When the government outbids private bond interest rates to gain loanable funds
What percent of the nations income is spent by the government?
23% (2024)
What 4 states have the lowest amount of debt?
Idaho, Nebraska, South Dakota, and Wyoming
What is the U.S. National Bird?
Bald Eagle
How can deficit be controlled?
Balancing government revenue is one way to control deficit
Why do businesses not want to invest when economic growth goes down?
They have to compete with the government for the limited capital.
What are the 3 major expenditures?
Defense, healthcare, and social security
Who owns most of the U.S debt?
Federal Reserve, government agencies, and trust funds.
What is the largest city in the United States?
New York - population of 8 million people (2020)