Chapter 16: Government Spends, Collects, and Owes
"Deficit and Debt"
A budget deficit, as you learned in this chapter, occurs when government spending exceeds revenues. Between 1998 and 2001 the United States operated with a surplus rather than a deficit of funds. This turn of events, however, has not been typical of much of the nation's recent history, and the national debt continues to be an issue. How are budget deficits tied to the national debt, and how do surpluses affect our economy? Citizens can gain a better understanding of how the federal government allocates tax dollars in preparing the federal budget by going to the United States Office of Management and Budget Web site.
Destination Title: United States Office of Management and Budget Web site
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Start at the Office of Management and Budget Web site.
Read through the information, and then answer the following questions.
- Click on the link indicated for the most recent budget year.
- Scroll down and click on "Budget of the United States Government."
- Scroll down and click on "Charting a Course for the Federal Budget."
- Browse through the site, taking notes as you go.