Discretionary Spending

Intermediate 🏛️ Government / Politics

Definition

The portion of the budget Congress actually votes on every year (defense, education, infrastructure), as opposed to mandatory spending that just happens automatically.

Example Usage

Discretionary spending was capped at $1.2 trillion for the fiscal year.

Origin

From 'discretion' meaning freedom to choose

Fun Fact

Discretionary spending has shrunk from 60% of the budget in 1970 to about 30% today

Source: Budget and appropriations terminology

Related Terms

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