Page 27 - Exposed Final

The U.S. government can raise taxes in three major areas -- corporate

income tax, payroll tax, and individual income tax -- that are where the bulk

of the revenue comes from. If the U.S. government falls short, they do what

many people do -- they just borrow the money!

Now let's examine where the money goes. The U.S. Treasury divides all

spending into three categories: mandatory spending, discretionary

spending, and interest on federal debt. The pie chart below shows all

projected federal spending in 2015 broken into these three categories.