Explain how the process of mandatory spending is different from discretionary spending.(1 point)

Question

Responses

Mandatory and discretionary spending are based on annual appropriations, set by the House of Representatives and the Senate, but mandatory spending is required to be paid by law.
Mandatory and discretionary spending are based on annual appropriations, set by the House of Representatives and the Senate, but mandatory spending is required to be paid by law.

Mandatory spending is required by law to be paid while discretionary spending is based on annual appropriations, set by the House and Senate Appropriations Committees.
Mandatory spending is required by law to be paid while discretionary spending is based on annual appropriations, set by the House and Senate Appropriations Committees.

Mandatory and discretionary spending are based on annual appropriations set by the Senate but discretionary spending is required to be paid by law.
Mandatory and discretionary spending are based on annual appropriations set by the Senate but discretionary spending is required to be paid by law.

Mandatory spending is based on annual appropriations, set by the House and Senate Appropriations Committees, while discretionary spending is required to be paid by law.

Answer 1

The correct response is:

Mandatory spending is required by law to be paid while discretionary spending is based on annual appropriations, set by the House and Senate Appropriations Committees.

Explanation:

• Mandatory Spending: This type of spending is dictated by existing laws and does not require annual appropriations by Congress. Examples include Social Security, Medicare, and Medicaid. These programs are funded automatically based on eligibility criteria and benefit levels established by law.

• Discretionary Spending: This type of spending is determined through the annual appropriations process conducted by Congress. This includes funding for programs such as education, defense, and transportation. Congress decides each year how much money to allocate to these programs through budget negotiations.

Thus, the main difference lies in the nature of their funding: mandatory spending is required by law, while discretionary spending depends on annual congressional decisions.