The federal government purchases

new defense equipment.

Nick receives a weekly amount from

the government because he became

unemployed when his company cut

costs by laying off employees.

Gloria is a 70-year-old retired woman.

She pays her expenses with the income

she receives from the government

The government is planning to build

more highways

Jill receives inpatient hospital services

even though she cannot afford them.

The government funds a scientific

research project

Discretionary Spending

Mandatory Spending

Discretionary Spending

The federal government purchases new defense equipment. The government is planning to build more highways. The government funds a scientific research project.

Mandatory Spending

Nick receives a weekly amount from the government because he became unemployed when his company cut costs by laying off employees. Gloria is a 70-year old retired woman. She pays her expenses with the income she receives from the government. Jill receives inpatient hospital services even though she cannot afford them.

Discretionary Spending are government spending implemented through a law.

Mandatory Spending is divided into three categories; compulsory expenses, discretionary expenses and interest on debt.