Mandatory Spending

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Discretionary spending requires annual approval through appropriations bills, which are included in the federal budget. Half of all discretionary spending is allocated to the Defense Department, while the remaining half is allocated to various projects such as veterans' affairs, NASA, scientific research, medical programs, job training, and environmental initiatives. In contrast, mandatory spending is allocated to entitlement programs that are established by law and continue each year. These programs include Social Security, Medicare, Medicaid, and welfare, among others. It is important to note that spending and eligibility criteria for these programs are implemented by law, which has placed an overwhelming strain on the federal budget. The lecture notes further describe mandatory spending when discussing entitlement programs, stating that they now comprise more than half of the federal budget, with Social Security and Medicare being the most expensive to operate, and others including Temporary Assistance for Needy Families (TANF).

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