(2.2) Comprehensive FRQ: People's Pie - Budget Process

Congratulations, budget bosses! After playing People’s Pie, you’ve had the chance to juggle the joys of collecting taxes, managing public services, and (hopefully) not driving the nation into bankruptcy. Now, it’s time to put that experience into practice. Using your hard-earned knowledge from the game, readings, and class notes, tackle the following FRQ like a true fiscal master. Remember, balancing the budget is like balancing on a tightrope: one wrong step and, well, let's say the national debt won’t be the only thing falling!

Define discretionary and mandatory spending in the context of the federal budget.

Explain how changes in tax policy, such as increasing or decreasing progressive taxes, can affect government revenue and the funding of discretionary programs.

Analyze the political challenges elected officials face when attempting to reduce national debt while maintaining public support.

Explain the difference between mandatory and entitlement spending, and describe how entitlement programs impact the federal budget.