Explain the difference between state and federal budgets for capital projects. Which do you think operates more efficiently?

What will be an ideal response?

An ideal response will:
1, Define capital budget as a budget for expenditures on items that will serve for the long term, such as equipment, roads, and buildings. Note that states may have capital budgets, but the federal government does not.
2, Distinguish between state and federal capital budgets. The state does not pay out of current income; ituses bonds and borrows money not reflected in the operating budget. The federal government does not have a capital budget; rather, spending is counted as current expenditures and can run up the deficit.
3, Provide a good argument for or against the use of capital budgets.