Question

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Answer 1

Answer:

Governments make direct purchase of goods and services. The federal government, for example, buys guns, bullets, tanks, and uniforms, etc.and pays soldiers to supply the national defense. Governments also make “transfer payments” such as welfare, Social Security, Medicare, Medicaid, and unemployment insurance.

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Answer 2

Answer:

Explanation:

As of 2010, US war on terror was gooing on so defense spending is in the top three categories. It covers all pentagon expenses on buying things for the military. But health care actually accounts for more than defense. It takes care of people who cannot afford health care on their own.  The cost was so much that President Obama started a health care reform program. Retirement i.e. social security is the largest federal expenditure. It pays retired people as they previously have paid the governement through social security taxes. They count on the government for support during their retirement.