Budget Deficit

Budget Deficit | Terms to Know and Love | Long Term Effects | Outlook for the Future | Comparisons | Data | Works Cited

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Government Budget

Government Outlays

• government purchases(G): expenditures on currently produced goods and services (government consumption) or capital goods (government investment).

• transfer payments(TR): payments made to individuals, which the government does not receive current goods or services.

examples:

Social Security payments

military and civil service pensions

unemployment insurance

welfare payments

Medicare

• net intrest payments (INT): intrest paid to the holders of government bonds minus the intrest received by the government. (outstanding government loans)