Fiscal Policy
The three major categories of revenue for the federal government are individual income taxes, corporate income taxes and social insurance taxes. The most important of these are the individual income taxes, which represent 55.1% of the total budget revenues, or $1.396 trillion. The second-most important revenue category is the social insurance taxes, which account for $978 billion, or 34.6% of the total budget revenues. The third-most important category is the corporate income taxes, which amount to $290 billion, or 10.3% of total budget revenues. The "other" category of revenues accounts for the remaining 5.7% of total budget revenues.
The three major categories of expenditures are mandatory spending, discretionary spending and interest. The largest of these is mandatory spending, which accounts for $1.914 trillion, or 57.5% of total outlays. The second-most important category of spending is the discretionary spending, which accounts for $1.189 trillion, or 35.2% of total budget outlays. Interest accounts for $220 billion, or 6.6% of total budget outlays.
3. As Chief Economic Adviser to the President of the United States, I would have the following to say about the deficit reduction proposals listed in Fried (2010). The total deficit in 2011 is project to be $498 billion, which is 14.9% of the total budget and 3.3% of GDP. The first proposal outlined in the article is the first I agree with - to overhaul the individual taxation system. The different proposals listed therein are short on specifics -- it matters as to what rate changes fall to what taxpayers. Key elements of tax reform -- getting rid of the Bush tax cuts and taxing capital gains as income -- will certainly increase individual tax revenue. A new sales tax would increase individual tax revenue, or create a new tax category. In any event, there is little political will for a nationwide sales tax or even for changing the way that capital gains are taxed. If these options were...
Macro-Economic Choices The three major categories for the federal government's revenues include: individual incomes taxes, corporate income taxes and social insurance taxes. Individual income taxes accounts for the largest amounts of spending for the federal government. As, these figure increased from: $1.1 trillion in 2010 to $1.3 trillion in 2011. While social insurance taxes are the second largest source of revenues with them providing at total of: $938 billion for 2010
Fiscal Policy What are the three major categories of revenues for the federal government? Please comment on each and indicate their relative importance to each other. Relative importance can be indicated by dollar amounts, percent of total revenue or expenditure or, though less informative, by ranking. The three categories of revenues for the federal government include: individual income taxes, corporate income taxes and social insurance taxes. These areas are interconnected to each
At a general level, the fiscal policy decreased the individuals' purchasing powers, which subsequently translated into lower levels of consumption. In other words, people bought commodities at higher prices, but they lowered their purchase volumes. The government will probably end up with the same level of federal revenues, but their collection structure will suffer modifications. In other words, the same amount of taxes was once collected through lower taxes and
Therefore, by increasing the costs of imprisonment by the three strikes law, it is intended that there will be less crime. Marwell and Moody express several difficulties with the laws in the 24 states: Criminals are not always aware of the laws, at least not initially; repeat criminals can be expected to serve substantial prison terms even in the absence of the laws; almost all of the states already
1 Five future trends in Public Administration are 1) global interconnectedness and self-sufficiency; 2) changes to public health policy; 3) incorporation of advanced technology into administration; 4) more grassroots advocacy; and 5) emphasis on sustainability (Florida Tech, 2019). The first trend—the global interconnectedness of public administrations and a focus at the same time on self-sufficiency—may seem like two diametrically opposed trends going in opposite directions, but the reality is that global
Foremost, when they occur, they generate massive financial setbacks for the institution implementing them as they generally require a large sum of money. "It is difficult to properly handle investments in public budgets. The rewards are spread out over an extended period of time while the cost or the pain of investing is immediate. That makes if difficult to finance public investments" (Penner, 2008). For the state and local governments
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