Federal Taxes
A tax collected directly from the person or entity that pays it.
The income, property, good, or service that is subject to a tax.
What is "tax base"?
Is an estimate of future revenues and expenses.
What is "budget"?
Is the use of government spending and revenue collection to influence the economy.
What is the "Fiscal Policy"?
This idea that free markets regulate themselves is central to the school of thought.
What is "classical economics"?
A tax that is collected by a person or business other than the one who pays it.
What is "indirect tax"?
Based on a person's earnings.
What is "individual income tax"?
A state puts together an ______ to plan for its day to day spending needs.
What is an "operating budget"?
Is a written document estimating the federal governments revenue and authorizing its spending for the coming year.
What is "federal budget"?
Often called full-employment output, is the maximum output that an economy can sustain over a period of time without increasing inflation.
What is "productive capacity"?
The use of taxation to discourage or encourage behavior.
What is "tax incentive"?
A tax for which the percentage of income paid in taxes increases as income increases.
What is "progressive tax"?
a state also draws up a _____ to pay for major capital, or investment, spending.
what is "capital budget"?
Is a 12-month period used for budgeting purposes.
What is a "Fiscal Year"?
Uses demanded-side theory as the basis for encouraging government action to help the economy.
What is "Keynesian economics"?
A person's gross (or total) income minus exemptions and deductions.
What is "taxable income"?
Uses a company's profits as its base.
What is "corporate income tax"?
Unlike the federal government, 48 states require _____.
What is "balanced budgets"?
By this time, the new fiscal year is about to start, and Congress faces pressure to get these _______ ____ adopted and submitted to the President before the previous year's funding ends on September 30.
What is "appropriations bills"?
The idea that each dollar spent not taxed by government creates a change much greater than one dollar in the national income.
What is "multiplier effect"?
Set amounts that you subtract from your gross income for yourself, your spouse, and any dependents.
What is "Personal exemptions"?
A tax for which the percentage of income paid in taxes decreases as income increases.
What is "regressive tax"?
Nonprofit organizations, including religious groups and charities are usually _____.
What is "Tax Exempt"?
Fiscal policy that tries to increase output is known as ______ ____.
What is "Expansionary Policy"?
Tools of fiscal policy that increase or decrease automatically depending on changes in GDP and personal income.
What is "automatic stabilizers"?