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Because two thirds of all government spending is on entitlements which the government connot easily alter. (by Solomon Zelman)
The primary thing that caused federal spending in the United States to increase from 1928 through 1939 was a desire to get out of the Great Depression. Because many Americans had lost all their money, it was imperative that the government help restore the economy.
increase taxes and and spend systematically
Federal spending on forgein aid increased demand for U.S goods.
Generally speaking the fiscal policies of the US Federal government are related to the monetary policies of the US Federal Reserve System. With that said, US fiscal policies of the Federal government can affect the economic situation of the US. The Federal government can do the following to influence the US economy, all of which are meant to improve the economy, however, that may not be the intended result. Here are some but not all examples of how the economy of the US can be affected by the Federal government:* Increase or decrease income taxes on personal and corporate income;* Increase or decrease gasoline taxes;* Increase or decrease tariffs;* Increase or decrease capital gains taxes ( part of income taxation );* Increase or decrease social security payments;* increase or decrease certain Medicare prices (costs )* increase or decrease Federal employment policies;* increase or decrease social spending in terms of food stamps as an example; and* Increase or maintain current levels of the national debt ceiling.
Because two thirds of all government spending is on entitlements which the government connot easily alter. (by Solomon Zelman)
Democrats wants to increase federal spending in order to stimulate the economy; Republicans wanted to cut federal spending.
The primary thing that caused federal spending in the United States to increase from 1928 through 1939 was a desire to get out of the Great Depression. Because many Americans had lost all their money, it was imperative that the government help restore the economy.
raise income taxes and decrease government spending
Consumer spending is called consumption, which is a component of Aggregate Demand in our economy. In monetary policy, the Federal Reserve can buy treasuries, lower the reserve requirement, and lower the discount rate which will increase consumption. In fiscal policy, the government can cut taxes to increase consumer spending.
increase taxes and and spend systematically
Most federal mandatory spending is spent on entitlements.
the goal is to get the consumer to increase their spending
The largest area of federal spending today is for social security. This is followed by Medicare, and Medicaid. Next in line is defense spending.
Federal spending on forgein aid increased demand for U.S goods.
Generally speaking the fiscal policies of the US Federal government are related to the monetary policies of the US Federal Reserve System. With that said, US fiscal policies of the Federal government can affect the economic situation of the US. The Federal government can do the following to influence the US economy, all of which are meant to improve the economy, however, that may not be the intended result. Here are some but not all examples of how the economy of the US can be affected by the Federal government:* Increase or decrease income taxes on personal and corporate income;* Increase or decrease gasoline taxes;* Increase or decrease tariffs;* Increase or decrease capital gains taxes ( part of income taxation );* Increase or decrease social security payments;* increase or decrease certain Medicare prices (costs )* increase or decrease Federal employment policies;* increase or decrease social spending in terms of food stamps as an example; and* Increase or maintain current levels of the national debt ceiling.
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