Question

Which of the following Federal Government budget items is classified as Discretionary Spending?


Which of the following Federal Government budget items is classified as Discretionary Spending? 

  • Social Security Benefits 

  • National Defense 

  • Maintaining interstate highways 

  • more than one of these answers are correct 

  • Net Interest

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Answer #1

Discretionary spending refers to the govt spending which is an optional part of fiscal policy and implemented through an appropriations bills. This spending includes social securities like education , health , transport , national defense etc. Here from the given options we can say that social security benefits, national defense, maintaining interstate highways all belong to the discretionary spending of the federal budget thus here the correct option is D [more of one of the answers are correct]

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