Final answer:
Mandatory spending is the type of government spending that must be authorized by Congress each year. It includes programs like Social Security and Medicare. Discretionary spending, on the other hand, is money that lawmakers have the freedom to allocate each year.
Step-by-step explanation:
Mandatory spending is the type of government spending that must be authorized by Congress each year. It refers to the money that Congress is required by law to spend on certain programs or to use for interest payments on the national debt. Examples of mandatory spending include Social Security, Medicare, and interest on the national debt.
On the other hand, discretionary spending is spending about which lawmakers are free to make choices. It needs annual authorization by Congress. Examples of areas of discretionary spending are military bases, the U.S. Coast Guard, Customs and Border Protection, welfare, or assistance to farmers.