The correct answer to this open question is the following.
Federal Spending between the years of 1936 and 1938 declined due to the improved of the economy.
After the United States stock market crash of October 29, 1929, it represented the beginning of the Great Depression that hurt so much the economy of the country and left millions of Americans without jobs. When President Franklin D. Roosevelt created a series of programs called "New Deal." The Federal Government increased the expenditure to create social programs to help the people in need. After things began to recover and people started to improve their condition, the Federal Spending between the years of 1936 and 1938 declined due to the improved of the economy.