Federal Debt, Discretionary Outlay, Tax Revenue, Principles of Macroeconomics Final Quiz
The key words in this Macroeconomics course include Federal Debt, Discretionary Outlay, Economic Growth, Monthly Budget, Tax Revenue, Government, Individual Income, Social Security, Payroll Tax Rate, Excise Taxes ,
The failure to make required payments on a debt is known as
refinancing.
austerity.
defaulting.
deferring.
defiance.
Should we be concerned about a growing federal debt?
No, because federal debt, unlike private debt, does not have to be repaid.
No, because budget deficits are more important to worry about than the federal debt.
Yes, because a large federal debt may slow the rate of economic growth in the future.
Yes, because it is likely that the government will confiscate the savings of individuals to pay for the debt.
Yes, because if the debt grows too large, we will have to receive bailouts from other countries, which means they will be able to control our policy and economy.
Assuming all of the following are in your personal monthly budget, your ________ payment is considered a discretionary outlay.
mortgage (or rent, if you do not own a home)
electric bill
car loan
boat loan
student loan
The largest source of tax revenue for the government is ________ taxes.
social insurance
excise
estate
corporate income
individual income
When Social Security was first instituted by President Franklin Roosevelt in 1935, the payroll tax rate on wages used to fund the program was
4 percent.
5 percent.
2 percent.
1 percent.
3 percent.
Excise taxes are levied on
imports.
property that is gifted to others.
corporate income.
individual income.
specific goods or commodities.
The failure to make required payments on a debt is known as
refinancing.
austerity.
defaulting.
deferring.
defiance.
Should we be concerned about a growing federal debt?
No, because federal debt, unlike private debt, does not have to be repaid.
No, because budget deficits are more important to worry about than the federal debt.
Yes, because a large federal debt may slow the rate of economic growth in the future.
Yes, because it is likely that the government will confiscate the savings of individuals to pay for the debt.
Yes, because if the debt grows too large, we will have to receive bailouts from other countries, which means they will be able to control our policy and economy.
Assuming all of the following are in your personal monthly budget, your ________ payment is considered a discretionary outlay.
mortgage (or rent, if you do not own a home)
electric bill
car loan
boat loan
student loan