Smoot-Hawley Tariff Act

• The 2011 US debt ceiling crisis was one of a series of recurring debates over the increase in the overall size of the US government debt.

• The 25% rule is a heuristic that can refer to either public finance law or intellectual property law.

• Section 501(c) of the Internal Revenue Code defines certain types of organizations as tax-exempt - they do not pay federal income tax.

• The principle of ability to pay states that those who are more able to pay taxes, measured by income and wealth, should pay more.

• Salvation is the injection of money into a business or organization that would otherwise face inevitable collapse.

• A balanced budget occurs when revenues equal or exceed total expenditures.

A budget surplus is when revenues exceed spending.#

• B2G, or business to government, is the provision of goods and services to government agencies at the federal, state, and local levels.

• The crowding-out effect suggests that an increase in public sector spending leads to a decrease in private sector spending.

• A spending deficit occurs when government spending exceeds its revenues.

• Deflation is a general decrease in the level of prices for goods and services.

• Double taxation means that income tax is paid twice from the same source of income.

• Purpose is the process by which people or organizations allocate certain money for certain purposes.

• Economic efficiency is when every scarce resource in the economy is used and distributed between producers and consumers in such a way as to provide the greatest economic return and benefit to consumers.

• Economic integration or regional integration is an agreement between countries to reduce or eliminate trade barriers and harmonize fiscal policies.

• The Recovery Tax Act of 1981, signed into law by Ronald Reagan during his first year in office, was the largest tax cut in US history.

• Economic stimulus refers to targeted fiscal and monetary policy aimed at obtaining an economic response from the private sector.

• Medium-term euronote (EMTN) is a medium-term flexible debt security that is issued and traded outside the United States.

• The Fed’s balance sheet is a list of assets and liabilities of the Federal Reserve.

• The financial system is the collection of global, regional or firm-specific institutions and practices used to facilitate the exchange of funds.

• The government creates a budget deficit by spending more money than it receives from taxes and other revenues, with the exception of debt.

• Fiscal policy refers to the use of government spending and tax policy to influence economic conditions.

• The Foreign Account Taxation Act (FATCA) requires US citizens to file annual returns on any foreign accounts and pay any taxes due on them in order to curb tax evasion.

• Free trade agreements reduce or remove barriers to trade across international borders.

• Generation Skip Transfer Tax (GSTT) is a federal tax that arises when property is transferred by gift or inheritance to a beneficiary (other than spouse) who is at least 37.5 years younger than the donor.