ECON103 Lecture Notes - Lecture 15: Social Security Trust Fund, Federal Insurance Contributions Act Tax, Lyndon B. Johnson
Document Summary
Government budgets: a budget describes plans for spending and income, plan for spending and raising funds for the government, two sides to a budget. Income or revenue: sources of funds: spending or outlays: uses of funds, defense spending is an example of government spending (outlays) Outlays & revenue: the us government spends trillion each year (,000 for every citizen, transfer payments, payments made to individuals when no good or service is received in return. Income assistance (welfare: social security, government outlays = government spending + transfer payments. Which of the following is part of mandatory outlays (type of question on exam: social security. Social security: government administered retirement program, enacted in 1935 by fdr as part of the new deal, requires workers to contribute a portion of their earnings to the social security. Trust fund: purpose, guarantee that american workers retire with at least some retirement income. Workers paying in > retirees receiving paying in benefits.
