Question

Analyze how federal budget decisions require tradeoffs and choices. How would you attempt to balance the federal budget? For example, would the defense budget be reduced to pay for an increase in transportation infrastructure? If so, why?

Answer 1

Federal budget is dependent on many factors one of which is the priority of the state. When there is a need to increase the level of defense, the budget for defense must be increased. This increase in budget translates to a decrease in budget in another area. If the budget for transportation can be reduced and still be able to implement the planned projects, then the budget for transportation will be reduced.