What is the largest category of income for the Federal Government? the largest category is federal income tax.

#2 National Defense

#3 government is legally obligated to provide funds

#4 Social Security and Medicare/Medicaid

#2 65.4%

#3 sales taxes and individual income taxes

#4 federal funding is also a big portion of the revenue

#2 21%

#2 $3.61 million

#3 museums, libraries, cultural centers, and other community arts organizations

#2 $628 million

#3 property taxes

differences is that a lot of states is also from federal grands

#2 congress looks over the budget request

#3 followed by congressional action to create budget resolutions

#4 then they make appropriations bills.

#5 President signs the appropriations bills

ex lowering taxes so they have more money to spend.

ex rasing taxes so there is less money to spend

ex buying Treasury bonds

ex changing the discount rate to 15% from 10%

ex increasing the reserve requirement, the Federal Reserve is essentially taking money out of the money supply

#2 influencing their lending decisions, reserve management, and ultimately, the overall level of interest rates in the economy.