U4 Congress and the Budget

Question 1

What is the Budget and Accounting Act of 1921?

Answer 1

It required the President to submit proposed budget to Congress each Fiscal Year (Oct. 1).

Question 2

What is the Office of Management and Budget?

Answer 2

The President’s Budgeting Arm that works with President to create a budget while taking into account the President’s political ideology.

Question 3

What are the Congress/s Sources of Revenue?

Answer 3

• Individual Income Taxes
• Social Insurance Taxes (Social Security, Medicare, Medicaid, etc.)
• Corporate Taxes
• Tariffs and Excise Taxes
• Other Sources(Government holdings/investments, estate taxes, etc.)

Question 4

What was the Congressional Budget and Impoundment Control Act of 1974?

Answer 4

Moved the start of the Fiscal year. Added Budget committees in Congress to have greater check over President. Thus Congress gets more power to look over budger and limit impounding.

Question 5

What is the Congressional Budget Office (CBO)?

Answer 5

Non-Partisan Accountants examine and analyze President’s proposed budget

Question 6

What is Discretionary spending?

Answer 6

40% of federal budget in 2019 that must be reauthorized every year by Congress and President before being spent on Defense, science, education, transportation, health, etc.

Question 7

What is Mandatory spending?

Answer 7

60% of federal budget in 2019 that does not have to be approved annually and can only be changed with new legislation.

Question 8

What are Entitlement Programs?

Answer 8

Provide benefits to people entitled to them by law via mandatory spending. Covers Social Security, Medicare, Medicaid, Food stamps, etc.