Gramm- Rudman Budget Act

Question 1

What year was the Gramm-Rudman balanced budget act passed

Answer 1

1985

Question 2

Huge Reagan budget deficits were caused by what?

Answer 2

Tax Cuts, Entitlements, and Increase Defense Spending

Question 3

Reagan refused to do what in the Gramm-Rudman Act

Answer 3

Refused to raise taxes increasing the debt to 4 trillion

Question 4

What is a balanced Budget

Answer 4

Only spending the money that you’ve gotten from taxes

Question 5

Gramm- and Rudman wanted to do what?

Answer 5

End Deficit Spending

Question 6

The Gramm-Rudman Act would do what to budgets

Answer 6

Force budgets to cut automatically

Question 7

If there is a lack of agressment between the president and Congress on the total spending level, what happens?

Answer 7

There is an across the board cut

Question 8

What is a sequester

Answer 8

An across the board cut (happens with president and Congress can’t come to an agreement)

Question 9

Divides all government spending into domestic and defense mandatory spending AND discretionary spending

Answer 9

1990 Budget Enforcement Act

Question 10

Legally Required

Answer 10

Mandatory Spending

Question 11

Example would be entitlement programs

Answer 11

Mandatory Spending

Question 11

Examples would include social security, Medicare, pensions, payment towards national debt

Answer 11

Mandatory Spending

Question 12

Pay as you go: any increase in this spending requires tax increase or cuts in discretionary spending

Answer 12

Mandatory Spending

Question 13

All spending that is not required by law

Answer 13

Discretionary Spending

Question 14

Examples would include Defense government operations, education, and highways

Answer 14

Discretionary Spending

Question 15

Caps are required for this spending

Answer 15

Discretionary Spending