1. Constitution for the United States of America We the People of the United States, in Order to form a more perfect Union, establish Justice, insure domestic Tranquility, provide for the common defence, promote the general Welfare, and secure the Blessings of Liberty to ourselves and our Posterity, do ordain and establish this Constitution for the United States of America.

2. wel·fare Health, happiness, and good fortune; well-being. Prosperity. pos·ter·i·ty Future generations: “Everything he writes is consigned to posterity” (Joyce Carol Oates). All of a person's descendants. pos·ter·i·ty Future generations: “Everything he writes is consigned to posterity” (Joyce Carol Oates). All of a person's descendants. tran·quil·li·ty The quality or state of being tranquil; a state of peace, serenity. de·fense Variant: or chiefly British de·fence: a means or method of protecting the physical or functional integrity of body or mind

3. What do Americans want from the government? Protection Education Freedom – to do what? Equity Financial Security

4. The Federal Government Dollar- Where it Comes From Where does their money come from? Where does their money come from? Personal income taxes44 percent Personal income taxes44 percent Social Security contributions37 percent Social Security contributions37 percent Corporate Income taxes13 percent Corporate Income taxes13 percent

5. The Federal Government Dollar— Where it Goes How does the Federal Government spend the revenue? How does the Federal Government spend the revenue? Defense $69623 percent Defense $69623 percent Social Security 20 percent Social Security 20 percent Medicare13 percent Medicare13 percent Medicaid7 percent Medicaid7 percent Interest 8 percent Interest 8 percent World Spending on Military – approximately 1.4 trillion, US 49 percent World Spending on Military – approximately 1.4 trillion, US 49 percent What do you think of their blend of spending? What do you think of their blend of spending?

6. Who pays the taxes in the U.S.?

7. Number of Returns with Positive AGI AGI ($ millions) Income Taxes Paid ($ millions) Group's Share of Total AGI Group's Share of Income Taxes Income Split PointAverage Tax Rate All Taxpayers 130,371,156$6,875,123$831,890100.00% -12.10% Top 1% 1,303,712$1,306,417$306,90219.00%36.89%> $328,04923.49% Top 2-5% 5,214,846$993,178$168,32214.45%20.23% 16.95% Top 5% 6,518,558$2,299,595$475,22433.45%57.13%> $137,05620.67% Top 6-10% 6,518,558$749,680$92,04910.90%11.07% 12.28% Top 10% 13,037,116$3,049,275$567,27344.35%68.19%> $99,11218.60% Top 11-25% 19,555,673$1,497,126$138,64221.78%16.67% 9.26% Top 25% 32,592,789$4,546,401$705,91566.13%84.86%> $60,04115.53% Top 26-50% 32,592,789$1,406,380$98,55620.46%11.85% 7.01% Top 50% 65,185,578$5,952,781$804,47186.58%96.70%> $30,12213.51% Bottom 50% 65,185,578922,34227,41913.42%3.30%> $30,122 2.97% Table 1. Summary of Federal Individual Income Tax Data, 2004 (Updated September 2006) Source: Internal Revenue Service

8. State and Local Governments Where does their money come from? Where does their money come from? Federal Revenue21 percent Federal Revenue21 percent Individual income taxes 12 percent Individual income taxes 12 percent Sales Tax19 percent Sales Tax19 percent Property Tax16 percent Property Tax16 percent Corporate Income tax2.5 percent Corporate Income tax2.5 percent

9. How do State and Local governments spend the revenue? How do State and Local governments spend the revenue? Education29 percent Education29 percent Welfare15 percent Welfare15 percent Highways5.5 percent Highways5.5 percent Public Safety3 percent Public Safety3 percent Insurance 8 percent Insurance 8 percent

10. Do you think the State and Local government are spending the money on the appropriate items? Do you think the State and Local government are spending the money on the appropriate items? according to the US dept of Labor according to the US dept of Labor security guards – 1,032,000 - 62 percent security guards – 1,032,000 - 62 percent police officers – 625,880 – 38 percent police officers – 625,880 – 38 percent