Card Set Information
Purposes of Policymaking
Solving a social problem
Pursuing an objective
Requires policymakers to act quickly, before the public becomes bored and loses inerest.
A slow, step-by-step approach to making policy.
This is done because policy making can have unforeseen results and can touch off bitter disputes.
Steps in Policy Making
: Define the role of government in solving social and economic problems.
: Set the agenda, which identifies the social and economic problems and redefines them into political issues, adn ranks them in order of importance.
: Policy formulation and adoption
: Policy Imiplementation
: Policy Evaluation
Many pieces of legislation deal with parts of policy problems but never deal with the entire problem.
A result of the dispersed power over policy making.
Departments/Agencies of Economic Advice
The Council of Economic Advisors
The National Economic Council
The Office of Management and Budget
The Office of Management and Budget
Responsible for initiating the budget process.
The director meets with the president to discuss policy initiatives.
Congressional Budget Committees
House Ways and Means Committee
: Deals with the taxing aspects of the budget.
: in both houses, these decide what programs Congress wants to fund.
: in both houses decide how much money to spend for those programs that have been authorized.
Budget Reform Act of 1974
Created the Congressional Budget office, with budget committees in both the House and Senate.
The congressional committees set their own revenue and spending levels.
Negotiations then take place among the White House and the two houses of Congress in an effort to get one budget that's acceptable for everyone.
If a budget is unable to be reached by the beginnning of the fiscal year, then a government shutdown will ensue.
1990 Budget Enforcement Act
An effort to stramline the budget process and make it easier to arrive at a compromise budget.
Categorizes government expenditures as either mandatory or discretionary spending.
Required by law, such as entitlement programs like Social Security, Medicare, etc.
Not required by law and include defense, education, highwasys, resesarch grants, and all government operations.
These are the primary targets for budget cuts.
General Agreement on Tariffs and Trade (GATT)
Evolved into the World Trade Organization.
125 members of the WTO account for 97% of world trade.
Effectively eliminated all tariffs from products flowing between U.S., Canada, and Mexico.
Social Insurance Programs
Domestic insurance programs in which employers and employees pay taxes.
Because individuals pay into these programs, the benefits derived are considered by the public to have been earned, and therefore results in little debate over a citizen's right to Social Security
Public Assistance Programs
Not perceived as earned.
Result of a condition and a government responsibility to help the needy.
Recipients not required to pay into the system but get something out.
Considered a "handout" to the lazy, so initiatives have concentrated on forcing prople on public assistance to either seek work or enter work-training programs.
Social Security Qualifications
Retirees 65 and older, who receive COLA (cost of living adjustments) to help maintain their standard of living if inflation exceeds 3%.
The permanently disabled.
Medicare, which provides for citizens 65 and older.
Medicaid, which provides for the low-income demographic, and is jointly funded by federal/state.
The "temporarily" unemployed.
Movement to Reduce Welfare Roles
Abolishing Aid to Families with Dependent Children (AFDC), replacing it with Temporary Assistance for Needy Families (TANF)
Requiring adults to find work within two years or be cut off.
Placing a lifetime limit of five years for welfare eligibility, although it is possible to het a waiver if a recipient is actively seeking work.
Prohibiting aliens from receiving assistance.