The Federal Budget
Why do you believe the federal budget should be reduced or
balanced?
Why do you believe the national debt should be reduced?
What is the risk in reducing them, and what is the risk in
failing to reduce them?
What would you do if you had a magic budget wand, and you could
make three changes to the way we raise federal revenues on an
annual basis?
Using that same wand what three changes would you make...
Should the federal Government have a balanced budget (i.e.
revenues = expenses), or is a deficit –OK? What are some of the
positive reasons to run a deficit?
Should the federal budget be balanced annually? You may answer
this question either yes or no and still receive full credit, but
you must justify your answer. Refer to appropriate economic theory
and the relevant “real world” considerations.
Define balanced and unbalanced growth. What are the
advantages and
disadvantages of each strategy? Give examples for both
strategies.
For which strategy is it more difficult to find examples?
What are the advantages and disadvantages of decentralized
government? Why can a federal system of government take advantage
of both centralized and decentralized collective decision making?
Why are local governments likely to be limited to a greater degree
than the central government in the extent to which they can engage
in redistribution and stabilization programs?
What are the advantages and disadvantages of brick-and-mortar
stores?
What are the advantages and disadvantages of online stores?
Which are there more of and how will this trend continue?
Please answer in complete sentences with an overall total of 150
words or more.
The call for a constitutional amendment to force the federal
government to balance its budget has been a long-standing issue in
politics and economics.
a) Explain the arguments put forth by those who want a
constitutional amendment (pro side).
b) Now explain the arguments (in words and a graph) of those
who are opposed to a balanced budget amendment.