Question

"A few years ago, the deficit got so horrendous that even Congress was embarrassed. Faced with this problem, the lawmakers did what they do best. They passed another law."

A) Fiscal responsibility
B) Legislative reform
C) Political maneuvering
D) Policy intervention

Answer 1

The question examines Congress' response to the federal budget deficit, highlighting the 2013 federal budget shutdown and political debates that influenced fiscal policy and governance.

Step-by-step explanation:

The question pertains to the actions taken by Congress in response to the federal budget deficit and is best understood within the context of fiscal policy and political maneuvering. During periods of high budget deficits, such as following the 2008-2009 recession, lawmakers are often pressured to take action to prevent further economic fallout. The discussion mentions the federal budget shutdown of 2013, caused by a standoff between Republicans and Democrats regarding government debt and spending priorities, including the Affordable Health Care Act. This led to temporary government shutdown and a close call with a debt default, until a compromise was reached. Such events exemplify the far-reaching impact of fiscal decisions on the overall politics and governance of a nation.

Additionally, the passage of the American Recovery and Reinvestment Act in 2009 under President Obama's administration, and the proposed Balanced Budget Amendment, highlight the complexities of federal budget management. Tax policy, mandatory spending programs, and the debates surrounding how to best achieve a balanced budget are central to understanding the tough choices lawmakers face in this arena.