In a similar sense as companies, the U.S. government must prepare a budget each year. However, unlike private, for-profit companies, the budget and its details are available to the public. The entire budgetary process is established by law. The government makes available a considerable amount of information concerning the federal budget. Most of this information can be found on the Internet. Using Internet resources (e.g., consider accessing the Office of Management and Budget), answer the following questions: lp6

Transcribed Image Text:

1. When is the federal budget prepared? 2. Who is responsible for preparing the federal budget? 3. How is the final federal budget determined? Explain in detail how the govern- ment creates its budget. 4. What percentage of the gross domestic product (GDP) is represented by the fed- eral budget? 5. What are the revenue sources for the federal budget? Indicate the percentage contribution of each of the major sources. 6. How does our spending as a percentage of GDP compare to other countries? 7. How are deficits financed?