Budget. Plan for managing and spending money. Governments create budgets to help them make decisions because of limited resources aka SCARCITY!!. Budget continued…. Two parts: Revenue and Expenditures Revenue: Money the gov’t receives Expenditures: Money the gov’t spends
Plan for managing and spending money.
Governments create budgets to help them make decisions because of limited resources
The government will charge tolls for the use of roads and canals.
The government will charge fees for driving, hunting, fishing, and getting married.
Charge fines (ie. traffic)
The government will sell and rent land.
Government run lotteries provide revenue, but they are controversial.
Deficit = One year of expenditures > revenue
Debt = all deficits + interest
Bonds are the #1 reason for government debt