Question 1

Which of the following is the primary objective of macroeconomic policy?

Accepted Answer

A)  Steady economic growth. 
B)  A reduced deficit. 
C)  Increased spending. 
D)  Increased foreign trade. 
E)  A larger bureaucracy. 
A)  Steady economic growth. 
B)  A reduced deficit. 
C)  Increased spending. 
D)  Increased foreign trade. 
E)  A larger bureaucracy.

Question 2

What is the tax burden in the United States as compared to other industrial democracies?

Accepted Answer

Although substantial, the Amer

Question 3

The authors define economic growth as

Accepted Answer

A)  two quarters of rising productivity. 
B)  a decline in the balance of trade. 
C)  six months of less than two percent inflation. 
D)  an annual increase in the gross domestic product. 
E)  a decline in unemployment. 
A)  two quarters of rising productivity. 
B)  a decline in the balance of trade. 
C)  six months of less than two percent inflation. 
D)  an annual increase in the gross domestic product. 
E)  a decline in unemployment.

Question 4

Although substantial, the American tax burden is significantly lighter than that of most other modern capitalist countries.

Accepted Answer

A) True 
 B)False

Question 5

Public goods are those that are targeted at a group that add to their cost of operations.

Accepted Answer

A) True 
 B)False

Question 6

Deficit hawks are legislators committed to reducing the budget deficit.

Accepted Answer

A) True 
 B)False

Question 7

Special, one-time expenditures to cover emergencies are also known as

Accepted Answer

A)  ear marks. 
B)  pork barrel spending. 
C)  supplemental appropriations. 
D)  incidental spending. 
E)  partial appropriations. 
A)  ear marks. 
B)  pork barrel spending. 
C)  supplemental appropriations. 
D)  incidental spending. 
E)  partial appropriations.

Question 8

Decision making is not usually considered to be part of the policy process.

Accepted Answer

A) True 
 B)False

Question 9

The Federal Reserve Board determines the discount rate.

Accepted Answer

A) True 
 B)False

Question 10

According to the authors of your textbook, action by public officials is

Accepted Answer

A)  simply the product of their personal desires. 
B)  the product of influences at the political linkage level of their framework. 
C)  the product of influences at the structural level of their framework. 
D)  the product of influences at the government level of their framework. 
E)  the product of influences at the electoral level of their framework. 
A)  simply the product of their personal desires. 
B)  the product of influences at the political linkage level of their framework. 
C)  the product of influences at the structural level of their framework. 
D)  the product of influences at the government level of their framework. 
E)  the product of influences at the electoral level of their framework.

Question 11

If the Federal Reserve Board wants to increase aggregate demand in the economy, it

Accepted Answer

A)  lowers tax rates to put more money in people's pockets. 
B)  increases military spending. 
C)  increases the money supply and lowers interest rates. 
D)  denies the president the right to regulate businesses for a short period. 
E)  manipulates supply and demand. 
A)  lowers tax rates to put more money in people's pockets. 
B)  increases military spending. 
C)  increases the money supply and lowers interest rates. 
D)  denies the president the right to regulate businesses for a short period. 
E)  manipulates supply and demand.

Question 12

Who is responsible for monetary policy?

Accepted Answer

A)  The Federal Reserve Board 
B)  The president 
C)  The Office of Management and Budget 
D)  Congress 
E)  All of the above are responsible for monetary policy. 
A)  The Federal Reserve Board 
B)  The president 
C)  The Office of Management and Budget 
D)  Congress 
E)  All of the above are responsible for monetary policy.

Question 13

The Fed has primary influence over fiscal policy.

Accepted Answer

A) True 
 B)False

Question 14

What is the difference between efficiency and effectiveness, at least in the evaluation stage of the policy process?

Accepted Answer

Efficiency is an assessment ab

Question 15

Government regulates primarily

Accepted Answer

A)  so that members of Congress can be reelected. 
B)  so that presidents can fulfill campaign promises. 
C)  to expand the size of the national government. 
D)  because the American people want the government to fix negative externalities. 
E)  None of the above 
A)  so that members of Congress can be reelected. 
B)  so that presidents can fulfill campaign promises. 
C)  to expand the size of the national government. 
D)  because the American people want the government to fix negative externalities. 
E)  None of the above

Question 16

________ policy has to do with taxing and spending policies of government.

Accepted Answer

The answer of ________ policy has to do with taxing...

Question 17

Why is the regulatory state likely to expand in the future?

Accepted Answer

A)  New problems, created as a matter of course in a dynamic market economy, are always appearing, and many bring public demands for government intervention. 
B)  The Democrats control the United States Congress. 
C)  The few regulatory policies supported by the public are likely to expand. 
D)  Regulation makes American businesses more efficient and competitive in the world market. 
E)  With large regulatory systems already in place, it is easy for the government to add more regulations in the case of a national emergency. 
A)  New problems, created as a matter of course in a dynamic market economy, are always appearing, and many bring public demands for government intervention. 
B)  The Democrats control the United States Congress. 
C)  The few regulatory policies supported by the public are likely to expand. 
D)  Regulation makes American businesses more efficient and competitive in the world market. 
E)  With large regulatory systems already in place, it is easy for the government to add more regulations in the case of a national emergency.

Question 18

Compared to the United States, other industrial democracies rely much more on

Accepted Answer

A)  flat taxes. 
B)  consumption taxes and national sales taxes. 
C)  payroll taxes. 
D)  income taxes. 
E)  investment. 
A)  flat taxes. 
B)  consumption taxes and national sales taxes. 
C)  payroll taxes. 
D)  income taxes. 
E)  investment.

Question 19

Macroeconomic policy refers

Accepted Answer

A)  solely to the regulations of financial and investment businesses. 
B)  to all government policy that influences the economic well-being of citizens. 
C)  to policies involving foreign exchange rates, international trade, and foreign aid. 
D)  to fiscal and monetary policies. 
E)  to inelasticity of supply and demand. 
A)  solely to the regulations of financial and investment businesses. 
B)  to all government policy that influences the economic well-being of citizens. 
C)  to policies involving foreign exchange rates, international trade, and foreign aid. 
D)  to fiscal and monetary policies. 
E)  to inelasticity of supply and demand.

Question 20

According to your text, which of the following is NOT a stage in the policy making process?

Accepted Answer

A)  Agenda setting 
B)  Implementation 
C)  Evaluation 
D)  Budgeting 
E)  Decision making 
A)  Agenda setting 
B)  Implementation 
C)  Evaluation 
D)  Budgeting 
E)  Decision making

Which of the following is the primary objective of macroeconomic policy?

What is the tax burden in the United States as compared to other industrial democracies?

The authors define economic growth as

Although substantial, the American tax burden is significantly lighter than that of most other modern capitalist countries.

Public goods are those that are targeted at a group that add to their cost of operations.

Deficit hawks are legislators committed to reducing the budget deficit.

Special, one-time expenditures to cover emergencies are also known as

Decision making is not usually considered to be part of the policy process.

The Federal Reserve Board determines the discount rate.

According to the authors of your textbook, action by public officials is

If the Federal Reserve Board wants to increase aggregate demand in the economy, it

Who is responsible for monetary policy?

The Fed has primary influence over fiscal policy.

What is the difference between efficiency and effectiveness, at least in the evaluation stage of the policy process?

Government regulates primarily

________ policy has to do with taxing and spending policies of government.

Why is the regulatory state likely to expand in the future?

Compared to the United States, other industrial democracies rely much more on

Macroeconomic policy refers

According to your text, which of the following is NOT a stage in the policy making process?

Democracy and American Politics

The Constitution

Federalism States and Nations

Structural Foundations of the American Government

Public Opinion

News Media

Interest Groups and Business Corporations

Social Movements

Political Parties

Participation Voting, and Elections

Congress

The President

The Executive Branch

The Courts

Freedom: the Struggle for Civil Liberties

Civil Rights: the Struggle for Political Equality

Social Safety Nets

Foreign Policy and National Defense

Filters

Exam 17: The Budget and Economic Policies

Which of the following is the primary objective of macroeconomic policy?

What is the tax burden in the United States as compared to other industrial democracies?

The authors define economic growth as

Although substantial, the American tax burden is significantly lighter than that of most other modern capitalist countries.

Public goods are those that are targeted at a group that add to their cost of operations.

Deficit hawks are legislators committed to reducing the budget deficit.

Special, one-time expenditures to cover emergencies are also known as

Decision making is not usually considered to be part of the policy process.

The Federal Reserve Board determines the discount rate.

According to the authors of your textbook, action by public officials is

If the Federal Reserve Board wants to increase aggregate demand in the economy, it

Who is responsible for monetary policy?

The Fed has primary influence over fiscal policy.

What is the difference between efficiency and effectiveness, at least in the evaluation stage of the policy process?

Government regulates primarily

________ policy has to do with taxing and spending policies of government.

Why is the regulatory state likely to expand in the future?

Compared to the United States, other industrial democracies rely much more on

Macroeconomic policy refers

According to your text, which of the following is NOT a stage in the policy making process?

Democracy and American Politics

The Constitution

Federalism States and Nations

Structural Foundations of the American Government

Public Opinion

News Media

Interest Groups and Business Corporations

Social Movements

Political Parties

Participation Voting, and Elections

Congress

The President

The Executive Branch

The Courts

Freedom: the Struggle for Civil Liberties

Civil Rights: the Struggle for Political Equality

Social Safety Nets

Foreign Policy and National Defense

Filters