👩🏾‍⚖️ap us government review

Deficit

Written by the Fiveable Content Team • Last updated August 2025
Verified for the 2027 exam
Verified for the 2027 examWritten by the Fiveable Content Team • Last updated August 2025

Definition

When federal government outlays in a fiscal year exceed receipts from taxes and other revenues, Congress must authorize borrowing to cover the gap under its Article I, Section 8 powers to tax and borrow. This annual imbalance drives debates over appropriations, affects the accumulation of the national debt, and shapes legislative choices about taxation, spending priorities, and the debt-ceiling politics.

AP course connection

Topic 2.2: 2.2 Structures, Powers, and Functions of Congress

Unit 2