Question 1

The federal government has assumed a permanent,strong role in the economy,contributing to its stability and efficiency,since

Accepted Answer

A) the 1930s. 
B) the 1860s. 
C) the 1960s. 
D) the 1980s. 
E) the 2000s. 
A) the 1930s. 
B) the 1860s. 
C) the 1960s. 
D) the 1980s. 
E) the 2000s.

Question 2

The term externalities refers to

Accepted Answer

A) regulations imposed on a firm by government. 
B) a nation that is a trading partner of another nation. 
C) the costs of production that are incurred by society. 
D) tariffs imposed on American goods exported to other countries. 
E) None of these answers is correct. 
A) regulations imposed on a firm by government. 
B) a nation that is a trading partner of another nation. 
C) the costs of production that are incurred by society. 
D) tariffs imposed on American goods exported to other countries. 
E) None of these answers is correct.

Question 3

Supply-side economics,as implemented by President George W.Bush's administration,involved

Accepted Answer

A) the supply component of the supply-demand equation. 
B) stressing the importance of tax cuts for businesses. 
C) stressing the importance of tax cuts for the wealthy. 
D) an increase in the budget deficit. 
E) All of these answers are correct. 
A) the supply component of the supply-demand equation. 
B) stressing the importance of tax cuts for businesses. 
C) stressing the importance of tax cuts for the wealthy. 
D) an increase in the budget deficit. 
E) All of these answers are correct.

Question 4

The Fed chair

Accepted Answer

A) is appointed by the president,with no approval from the Senate. 
B) serves a four-year term. 
C) rarely cares about monetary policy. 
D) has absolute authority over the Fed. 
E) All of these answers are correct. 
A) is appointed by the president,with no approval from the Senate. 
B) serves a four-year term. 
C) rarely cares about monetary policy. 
D) has absolute authority over the Fed. 
E) All of these answers are correct.

Question 5

In John Maynard Keynes's demand-side economic theory,an economic recession can be shortened through

Accepted Answer

A) government spending programs. 
B) the natural workings of the free-market system. 
C) raising tariffs in the global economy. 
D) a determination on the part of government not to spend any more than it receives in taxes. 
E) tax cuts for the wealthy. 
A) government spending programs. 
B) the natural workings of the free-market system. 
C) raising tariffs in the global economy. 
D) a determination on the part of government not to spend any more than it receives in taxes. 
E) tax cuts for the wealthy.

Question 6

The Federal Reserve controls the money supply through all of the following actions EXCEPT

Accepted Answer

A) raising the percentage of funds members banks are required to hold in reserve. 
B) raising the interest rate that member banks are charged when they borrow from the Federal Reserve. 
C) lowering the percentage of funds members banks are required to hold in reserve. 
D) lowering the interest rate that member banks are charged when they borrow from the Federal Reserve. 
E) lowering the tax rate on individuals. 
A) raising the percentage of funds members banks are required to hold in reserve. 
B) raising the interest rate that member banks are charged when they borrow from the Federal Reserve. 
C) lowering the percentage of funds members banks are required to hold in reserve. 
D) lowering the interest rate that member banks are charged when they borrow from the Federal Reserve. 
E) lowering the tax rate on individuals.

Question 7

What happened after Lehman Brothers went out of business in September of 2008?

Accepted Answer

A) The stock market rose dramatically. 
B) The stock market rose slightly. 
C) The stock market was essentially unchanged. 
D) The stock market dropped slightly. 
E) The stock market dropped dramatically. 
A) The stock market rose dramatically. 
B) The stock market rose slightly. 
C) The stock market was essentially unchanged. 
D) The stock market dropped slightly. 
E) The stock market dropped dramatically.

Question 8

Government subsidies to small and large farmers are designed in large part to

Accepted Answer

A) increase tax revenue levied on farm production and exports. 
B) stabilize farm income,which would otherwise fluctuate greatly due to market and weather conditions. 
C) promote farm conservation so as to preserve the productive capacity of U.S.agriculture. 
D) encourage rural development. 
E) encourage urban development. 
A) increase tax revenue levied on farm production and exports. 
B) stabilize farm income,which would otherwise fluctuate greatly due to market and weather conditions. 
C) promote farm conservation so as to preserve the productive capacity of U.S.agriculture. 
D) encourage rural development. 
E) encourage urban development.

Question 9

If the Fed wanted to act to reduce unemployment,it would

Accepted Answer

A) sell securities. 
B) raise the reserve rate. 
C) decrease the interest rate on loans to member banks. 
D) discourage businesses from expanding. 
E) encourage people to save more and spend less. 
A) sell securities. 
B) raise the reserve rate. 
C) decrease the interest rate on loans to member banks. 
D) discourage businesses from expanding. 
E) encourage people to save more and spend less.

Question 10

Describe Adam Smith's laissez-faire model of economics.

Accepted Answer

Laissez-faire capitalism holds that priv

Question 11

Which country has the highest annual emissions of carbon dioxide?

Accepted Answer

A) United States 
B) China 
C) Japan 
D) France 
E) Great Britain 
A) United States 
B) China 
C) Japan 
D) France 
E) Great Britain

Question 12

Monetary policy includes all of the following assumptions EXCEPT that

Accepted Answer

A) the money supply is the key to sustaining a healthy economy. 
B) too little money in circulation contributes to inflation. 
C) too little money in circulation contributes to a slowdown in consumer buying. 
D) too little money in circulation contributes to rising unemployment. 
E) too much money in circulation contributes to inflation. 
A) the money supply is the key to sustaining a healthy economy. 
B) too little money in circulation contributes to inflation. 
C) too little money in circulation contributes to a slowdown in consumer buying. 
D) too little money in circulation contributes to rising unemployment. 
E) too much money in circulation contributes to inflation.

Question 13

The total amount of money the federal government spends each year in excess of its yearly revenues is the

Accepted Answer

A) trade deficit. 
B) budget deficit. 
C) national debt. 
D) credit imbalance. 
E) income disparity. 
A) trade deficit. 
B) budget deficit. 
C) national debt. 
D) credit imbalance. 
E) income disparity.

Question 14

The $787 billion stimulus bill passed by Congress in 2009

Accepted Answer

A) illustrated classic supply-side principles. 
B) focused primarily on lowering tax rates for businesses. 
C) was passed with strong bipartisan support. 
D) had almost no Republican support. 
E) was not necessary according to most Democratic-leaning economists. 
A) illustrated classic supply-side principles. 
B) focused primarily on lowering tax rates for businesses. 
C) was passed with strong bipartisan support. 
D) had almost no Republican support. 
E) was not necessary according to most Democratic-leaning economists.

Question 15

What was a major change brought about by the National Labor Relations Act of 1935?

Accepted Answer

A) It established the national minimum wage. 
B) It broke up business monopolies in order to give workers more choice in employers. 
C) Workers were given the right to bargain collectively. 
D) It eliminated the ability of companies to bargain directly with unions. 
E) It reduced the ability of workers to go on strike indefinitely. 
A) It established the national minimum wage. 
B) It broke up business monopolies in order to give workers more choice in employers. 
C) Workers were given the right to bargain collectively. 
D) It eliminated the ability of companies to bargain directly with unions. 
E) It reduced the ability of workers to go on strike indefinitely.

Question 16

A major point of debate surrounding the Federal Reserve's role in economic policy is

Accepted Answer

A) the Fed's political accountability. 
B) whether the president should be able to veto the Fed's decisions. 
C) the issue of competence. 
D) whether Congress should be able to reject the Fed's decisions. 
E) None of these answers is correct. 
A) the Fed's political accountability. 
B) whether the president should be able to veto the Fed's decisions. 
C) the issue of competence. 
D) whether Congress should be able to reject the Fed's decisions. 
E) None of these answers is correct.

Question 17

Who was appointed Fed chair in 2018?

Accepted Answer

A) Ben Bernanke 
B) Milton Friedman 
C) Alan Greenspan 
D) Janet Yellen 
E) Jerome Powell 
A) Ben Bernanke 
B) Milton Friedman 
C) Alan Greenspan 
D) Janet Yellen 
E) Jerome Powell

Question 18

Which president's use of government policy as economic stimulus ushered in the modern era of U.S.government fiscal policy?

Accepted Answer

A) Thomas Jefferson 
B) Franklin Roosevelt 
C) Lyndon Johnson 
D) Woodrow Wilson 
E) William Clinton 
A) Thomas Jefferson 
B) Franklin Roosevelt 
C) Lyndon Johnson 
D) Woodrow Wilson 
E) William Clinton

Question 19

Farm subsidies account for approximately ________ of net agricultural income,making America's farmers among the most heavily subsidized in the world.

Accepted Answer

A) 10 percent 
B) one-fifth 
C) a third 
D) one-seventh 
E) two-thirds 
A) 10 percent 
B) one-fifth 
C) a third 
D) one-seventh 
E) two-thirds

Question 20

Supply-side economics is based primarily on

Accepted Answer

A) stimulation of the business (supply)component. 
B) government stimulation of consumer demands. 
C) a repudiation of trickle-down theory. 
D) increases in taxation. 
E) increases in government regulation. 
A) stimulation of the business (supply)component. 
B) government stimulation of consumer demands. 
C) a repudiation of trickle-down theory. 
D) increases in taxation. 
E) increases in government regulation.

The federal government has assumed a permanent,strong role in the economy,contributing to its stability and efficiency,since

The term externalities refers to

Supply-side economics,as implemented by President George W.Bush's administration,involved

The Fed chair

In John Maynard Keynes's demand-side economic theory,an economic recession can be shortened through

The Federal Reserve controls the money supply through all of the following actions EXCEPT

What happened after Lehman Brothers went out of business in September of 2008?

Government subsidies to small and large farmers are designed in large part to

If the Fed wanted to act to reduce unemployment,it would

Describe Adam Smith's laissez-faire model of economics.

Which country has the highest annual emissions of carbon dioxide?

Monetary policy includes all of the following assumptions EXCEPT that

The total amount of money the federal government spends each year in excess of its yearly revenues is the

The $787 billion stimulus bill passed by Congress in 2009

What was a major change brought about by the National Labor Relations Act of 1935?

A major point of debate surrounding the Federal Reserve's role in economic policy is

Who was appointed Fed chair in 2018?

Which president's use of government policy as economic stimulus ushered in the modern era of U.S.government fiscal policy?

Farm subsidies account for approximately ________ of net agricultural income,making America's farmers among the most heavily subsidized in the world.

Supply-side economics is based primarily on

Political Thinking and Political Culture: Becoming a Responsible Citizen

Constitutional Democracy: Promoting Liberty and Self-Government

Federalism: Forging a Nation

Civil Liberties: Protecting Individual Rights

Equal Rights: Struggling Toward Fairness

Public Opinion and Political Socialization: Shaping the Peoples Voice

Political Participation: Activating the Popular Will

Political Parties,candidates,and Campaigns: Defining the Voters Choice

Interest Groups: Organizing for Influence

The News Media: Communicating Political Images

Congress: Balancing National Goals and Local Interests

The Presidency: Leading the Nation

The Federal Bureaucracy: Administering the Government

The Federal Judicial System: Applying the Law

Income,welfare,and Education Policy: Providing for Personal Security

Foreign Policy: Protecting the American Way

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Exam 15: Economic and Environmental Policy: Contributing to Prosperity

The federal government has assumed a permanent,strong role in the economy,contributing to its stability and efficiency,since

The term externalities refers to

Supply-side economics,as implemented by President George W.Bush's administration,involved

The Fed chair

In John Maynard Keynes's demand-side economic theory,an economic recession can be shortened through

The Federal Reserve controls the money supply through all of the following actions EXCEPT

What happened after Lehman Brothers went out of business in September of 2008?

Government subsidies to small and large farmers are designed in large part to

If the Fed wanted to act to reduce unemployment,it would

Describe Adam Smith's laissez-faire model of economics.

Which country has the highest annual emissions of carbon dioxide?

Monetary policy includes all of the following assumptions EXCEPT that

The total amount of money the federal government spends each year in excess of its yearly revenues is the

The $787 billion stimulus bill passed by Congress in 2009

What was a major change brought about by the National Labor Relations Act of 1935?

A major point of debate surrounding the Federal Reserve's role in economic policy is

Who was appointed Fed chair in 2018?

Which president's use of government policy as economic stimulus ushered in the modern era of U.S.government fiscal policy?

Farm subsidies account for approximately ________ of net agricultural income,making America's farmers among the most heavily subsidized in the world.

Supply-side economics is based primarily on

Political Thinking and Political Culture: Becoming a Responsible Citizen

Constitutional Democracy: Promoting Liberty and Self-Government

Federalism: Forging a Nation

Civil Liberties: Protecting Individual Rights

Equal Rights: Struggling Toward Fairness

Public Opinion and Political Socialization: Shaping the Peoples Voice

Political Participation: Activating the Popular Will

Political Parties,candidates,and Campaigns: Defining the Voters Choice

Interest Groups: Organizing for Influence

The News Media: Communicating Political Images

Congress: Balancing National Goals and Local Interests

The Presidency: Leading the Nation

The Federal Bureaucracy: Administering the Government

The Federal Judicial System: Applying the Law

Income,welfare,and Education Policy: Providing for Personal Security

Foreign Policy: Protecting the American Way

Filters