More Mandatory Government Spending

Apollo Chief Economist

There are two categories of spending in the federal budget process, discretionary and mandatory.

Discretionary spending is subject to the appropriations process, and mandatory spending includes entitlement programs, such as Social Security and Medicare.

The share of government spending on mandatory spending has increased from 30% to 60%, thereby giving politicians less room to achieve a balanced budget without cutting entitlements.

Discretionary government spending has declined from 70% of the total to 30%
Source: CBO, Haver Analytics. Apollo Chief Economist

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