Taxes-How does the Government Spend Money?

The government collects taxes every week from working people. This money is spent on various things suchs as education, transportation, program funding, medicare and military exspenses. Below is a dollar bill chart that shows where each dollar goes for funding. Majority of the money goes to medicare ad social security (which is said to be diminished within the next 50 years.) The next highest amount of money goes into national defense which is basically funding for unnecessary wars. On the other hand, New York State spends money on things such as education, economical development and medicaid. There is not much of a difference between the way NYS spends their money and the way the Federal Government spends their money.

Savings and Debt

It is really quite amazing how easy it is to get into debt. A lot of people dont realize how easy it is until it is too late and they are already in debt. I think that the main problem with people is that they do not know how to manage their money and they end up over spending. They spend money on things that arent necessary and that is how they end up getting into debt. Another thing that contribute to their debt is finance charges. People dont usually factor in their finance charges when they are determining their budgets and that helps create more debt. I think Americans dont save money because they cant afford to, especially is places like NY. The cost of living is way too high, the salaries are not that great and in order to live you must spend your money on the things that you need. This leaves no opportunity to save money. I think many Americans depending on things such as pensions and 401K's to be there for them when they retire, but now those funds are slowly deminishing.

GDP Podcast Critique

The podcast i critiqued was david, anthony and mychele. I felt that the content of the podcast was good. It wasn't great but they did answer the basic questions and definitions for what GDP is. I thought that the recording was loud and clear. I could hear and understand everything that each one of them was saying. The images didn't exactly go with that they were talking about at every given moment but they did have to do with GDP as a whole. The podcast wasn't really creative but how creative can you really be with a podcast? I did feel it was educational and they did explain things and taught the listener something. Overall I think this podcast was good.

US Trade Deficit: Getting Better

What is this article discussing?

This article talks about the US economy expanding. If the US continues to export and grow in other countries, it will help our economy more than it has in over a decade.

What is a trade deficit?

A trade deficit occurs when a country imports goods from another country worth more then the value of its exports to that other country.

Why is the US trade deficit likely to go down in the future?

The US trade deficit is likely to go down because of all the business that the US economy is doing overseas. Because our exports are growing, it is helping our economy to become stronger creating more domestic jobs and a better domestic economy.

What kind of products is the US selling overseas?

A lot of products are being sold overseas. Everything from GM cars to KFC to the things needed to support the developing world such as factory machinery.

And what about the US dollar - how can a weak dollar actually help the US economy and the trade deficit?

American companies are sending more and more products overseas to countries that have a weaker dollar thus helping to make American goods more competitive in foreign markets.

Taxes- How Does The Government Spend Money?

Type of Tax Specific Tax: How are they collected?
Federal Taxes • Payroll Tax: collected from wages and salaries only
• Income Tax: collected from wages, salaries, rents, interest on bank accounts and dividends
• Corporate Income Tax: collected from a corporations net income
• Excise Tax: collected from the sales of items like gas, alcoholic beverages and tobacco
• Estate Tax: collected from a dead person’s estate
• Gift Tax: collected during the transfer of property between people

State Tax • General State Tax: collected from general sales
• Excise Tax: collected from the sales of items like gas, alcoholic beverages and tobacco
• Estate Tax: collected from a dead person’s estate
• Inheritance Tax: collected from a person after they inherit something from a dead person

City/Local Taxes • General Sales Tax: collected from general sales
• Excise Tax: collected from the sales of items like gas, alcoholic beverages and tobacco
• Property Tax: collected from assets like stocks, bonds, houses, cars and artwork

Miscellaneous Taxes • Pollution Tax: collected from companies that produce air, water, oil or water pollution.

Student Loans

Why do you think some of these culinary school students took out such large student loans? What is your feeling on student loans?

I think students in general take out large loans because they arent given the financial aid that they need to attend the college of their choice. Everyone wants to go to a good school and become successful. Eut college is a very large expense, an expense that most people cant afford. therefore loans are taken out for what they cannot pay for or didn't receive in financial aid.

I personally think student loans are a way to keep people in debt. Students just become adults, dont have any credit and arent too familiar with finance can become trapped when they take out loans. Many parents dont know much about loans either which doesn't help the students at all. With a country worth trillions of dollars, why is it that our children cant further their education without having to spending nearly $100,000 in tuition alone ?

Do you plan on taking out any student loans? If so - for approximately how much

Currenty I am in the process of taking out a student loan. I have $7,500 in a stafford loan given to me by my college. $3,500 of that loan is a subsidized stafford loan which doesn't gain any interest while im in school and i must begin to pay back 6 months after I graduate. The other $4,000 is an unsubsidized stafford loan which has an interest rate somewhere around 6%. I also have a balance of $9,704 which I was going to take out in a private loan but my uncle has decided to loan me the money and I can pay him back, interest free!

Critique of Federal Reserve Podcast

Tiana and Sharonna's Podcast http://mmoloneyiths.com/econ/podcasts/fed/tiana-sharonna.mov">


This podcast was really good, especially compared to mine. They had a good set up of their information and how they answered the questions. The images coincide with the information that was being said throughout the podcast. Their voices were very clear and I could hear what they were saying perfectly. They discussed all the aspects of The Fed and even mentioned some things I did not know. The podcast wasnt outstandingly creative but it was somewhat creative. I would say this podcast was definately educational and interesting. Great sound effects Tiana.