By the end of this section, you will be able to do the following: Explain the U.S. federal budget in terms of annual debt and accumulated debt and Understand how economic growth or decline can influence a budget surplus or budget deficit.

This section provides a summary of the key concepts presented in Chapter 16: Government Budgets and Fiscal Policy from the Texas Gateway AP Macroeconomics online textbook.

In this chapter, you will learn about the following: Government spending; Taxation; Federal deficits and national debt; Using fiscal policy to fight recessions, unemployment, and inflation; Automatic stabilizers; Practical problems with...