Post on 17-Jan-2016
Macroeconomics Unit Chapter 14
BUDGET DEFICIT: when expenditures exceed revenue• Expenditure: an amount of money spent• Revenue: income
EOC study guideMacroeconomics #14
BUDGET SURPLUS: when revenue exceeds expenditures
Fiscal year DeficitDeficit as share of GDP
20091,412,688,000,000
9.8 percent
20101,294,373,000,000
8.8 percent
20111,299,593,000,000
8.4 percent
20121,086,963,000,000
6.8 percent
2013 679,502,000,000 4.1 percent
Source: http://www.politifact.com/wisconsin/statements/2014/sep/05/barack-obama/obama-says-he-has-cut-national-deficit-half/
Gross domestic product (GDP) is a measure of the income and expenditures of an economy
GDP is the total market value of all final goods and services produced within a country in a given period of time
Source: http://taxfoundation.org
Congress and the President!!! If the economy slows down, there is
less tax revenue• It takes time to adjust Federal spending
If war breaks out, spending increases
Sometimes There’s Unforeseen CostsSometimes There’s Unforeseen Costs
Lobbyists can impact spending—spending in 2012
Source Open Secrets.org
National Debt: the sum of all past deficits and surpluses
•Currently: Over $18,009,111,000,000!approx. $56,383 per citizenor $153,726 per taxpayer
EOC study guide
Macroeconomics #15
Source: www.cbo.gov/sites/.../budgetinfographic.pd..
://www.youtube.com/watch?v=3ugDU2qNcyg