Government Vocab

  1. Budget
    A document that states tax collections, spending levels, and the allocation of spending among purposes.
  2. Budget Resolution
    A congressional decision that states the maximum amount of money the government should spend.
  3. Deficit
    What occurs when the government in one year spends more money than it takes in from taxes.
  4. Economic Planning
    The belief that government plans, such as wage and price controls or the direction of investment, can improve the economy.
  5. Entitlement
    A claim for government funds that cannot be changed without violating the rights of the claimant.
  6. Fiscal Policy
    Managing the ecomnomy by the use of tax and spending laws.
  7. Fiscal Year (FY)
    For the federal government, October 1 to September 30.
  8. Gross Domestic Product (GDP)
    The total of all goods and services produced in the economy during a given year.
  9. Keynesianism
    The belief that the government must manage the economy by spending more money when in a recession and cutting spending when there is inflation.
  10. Monetarism
    The belief that inflation occurs when too much money is chasing too few goods.
  11. Monetary Policy
    Managing the economy by altering the supply of money and interest rates.
  12. National Debt
    The total deficit from the first presidency down to the present.
  13. Reaganomics
    The belief that a combination of monetarism, lower federal spending, and supply-side economics will stimulate the economy.
  14. Sequester
    Automatic spending cuts.
  15. Supply-side Economics
    The belief that lower taxes and fewer regulations will stimulate the economy.
Card Set
Government Vocab
Chapter 18 Vocab