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Fiscal Policy

Question 7 • (2026-2027) Riggin -- American Government 2nd Nine Weeks (1st Semester) BLDG

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Answer

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Balancing the federal budget is difficult because a large portion of government spending is mandatory, such as Social Security and Medicare, which cannot be easily changed or cut. Only a small percentage of the budget is discretionary spending, which is where Congress has the most flexibility. Additionally, raising taxes or cutting popular public programs is often politically unpopular, making it hard for the president and Congress to reach an agreement.

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