2. Macroeconomics Unit Chapter 14

3.  BUDGET DEFICIT:  when expenditures exceed revenue Expenditure: an amount of money spent Revenue: income EOC study guide Macroeconomics #14

4. BUDGET SURPLUS: when revenue exceeds expenditures

5. Fiscal yearDeficit Deficit as share of GDP 20091,412,688,000,0009.8 percent 20101,294,373,000,0008.8 percent 20111,299,593,000,0008.4 percent 20121,086,963,000,0006.8 percent 2013679,502,000,0004.1 percent 2014483,000,000,0002.8 percent Source: http://www.politifact.com/wisconsin/statements/2014/sep/05/barack- obama/obama-says-he-has-cut-national-deficit-half/

6.  Gross domestic product (GDP) is a measure of the income and expenditures of an economy  GDP is the total market value of all final goods and services produced within a country in a given period of time

7. Source: http://taxfoundation.org

8.  Congress and the President!!!  If the economy slows down, there is less tax revenue It takes time to adjust Federal spending  If war breaks out, spending increases

11. What if There are Unforeseen Costs?

12.  Lobbyists can impact spending— spending in 2012 Source Open Secrets.org

13.  National Debt: the sum of all past deficits and surpluses Currently: Over $18,611,073,500,000! Currently  approx. $57,768 per citizen  or $155,926 per taxpayer EOC study guide Macroeconomics #15

17. Source: www.cbo.gov/sites /.../budgetinfogra phic.pd..

18. John Green on the Debt 2012