P.572-573 chapter 20 review – Flashcards
Unlock all answers in this set
Unlock answersquestion
What is the deadline for filling individual income tax returns?
answer
April 15th
question
Identify three institutions that are exempt from the federal income tax?
answer
Churches,unions,non profit organizations
question
What are three responsibilities of the Internal Revenue Service?
answer
Collect taxes, Audit suspect returns, and other problem documents, Administers the Internal Revenue Code
question
What are four types of taxes that the federal government collects?
answer
Individual Income Taxes Corporate Income Taxes Social Insurance Taxes Excise Taxes
question
What executive agency is charged with preparing the federal budget?
answer
Office of Management and Budget
question
Why are federal securities such as bonds popular with investors?
answer
Because they are safe and the interest on them is not subject to taxation.
question
What was the goal of the Grammy-rudman holdings act?
answer
The act aimed to curtail the US deficit and limit government spending
question
What factors make it difficult for congress to cut spending?
answer
Popular demand for public welfare programs, large numbers of entitlements, increasing interest payments
question
Identify state and local uses of intergovernmental revenues?
answer
Road repair, schooling, police training, public programs
question
Why has the United States been unable to balance the national budget most of the time beginning in the 1930s
answer
Because the government often does not want to balance the budget because they belief deficit spending will aid the economy
question
What kinds of banks are members of the federal reserve system?
answer
All of the large banks in the country are part of the Fed
question
Why would business groups support protective tariffs?
answer
Because protective tariffs make imports more expensive and, as such, give a boost to domestically produced goods
question
Why must the federal reserve board of governors operate free of pressure from the president or congress?
answer
Political pressure would drastically increase the potential for corruption and would also distract the Fed governors from their actually meaningful affairs and responsibilities
question
Use a graphic organizer like the one below to show two measures the federal government could take if the national debt seemed to be growing too fast?
answer
------->make spending limits ------->Reduction of spending
