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What are the tradeoffs of preserving some programs while protecting others?

20/12/2020 Client: saad24vbs Deadline: 10 Days

National Budget Simulation Worksheet


Directions: Answer the questions below. Save your answers in either doc or docx format. Submit this document through the appropriate link in session 10. Your completed assignment should be at least 250 words in length.


1. How will the program cuts that you made affect specific groups (the elderly, students, environmentalists, savers, the poor, foreign aid recipients, producers, etc.)?


2. What programs did you choose to cut? Why did you choose those programs over others?


3. Would other cuts have had less impact on people’s lives? Which budget cuts had the largest impact on reducing the deficit?


4. Which decisions might be perceived as politically motivated?


5. What are the tradeoffs of preserving some programs while protecting others?


6. How do your decisions result in the marginal benefit to society outweighing the marginal cost to society?


7. If you had the opportunity to raise taxes rather than cut programs, which policy would you choose?


(Questions developed from the Council for Economic Education. Revised 3/2013.)


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