Question 1

Why do most economists oppose protectionism?

Accepted Answer

A) because it contributes to the trade deficit 
B) because it artificially lowers prices,hurting businesses 
C) because it gives labor unions too much power 
D) because it prevents the efficient use of resources 
A) because it contributes to the trade deficit 
B) because it artificially lowers prices,hurting businesses 
C) because it gives labor unions too much power 
D) because it prevents the efficient use of resources D

Question 2

The __________ tax is only used at the state and local level.

Accepted Answer

sales

Question 3

The primary purpose of deregulation is to __________ the amount of government intervention in the economy.

Accepted Answer

reduce

Question 4

The signing of the North American Free Trade Agreement has had a significant impact on the economies of __________.

Accepted Answer

A) the United States,Mexico,and Canada 
B) the United States,Canada,and Greenland 
C) the United States and Cuba 
D) the United States and Panama 
A) the United States,Mexico,and Canada 
B) the United States,Canada,and Greenland 
C) the United States and Cuba 
D) the United States and Panama

Question 5

Which of the following best characterizes the federal budget process?

Accepted Answer

A) complicated 
B) nonpolitical 
C) short-sighted 
D) streamlined 
A) complicated 
B) nonpolitical 
C) short-sighted 
D) streamlined

Question 6

The size of the national debt is __________.

Accepted Answer

A) declining 
B) rising 
C) marginal 
D) unchanged 
A) declining 
B) rising 
C) marginal 
D) unchanged

Question 7

Because of the Great Recession,Congress is more likely to deregulate commercial and investment banks.

Accepted Answer

A) True 
 B)False

Question 8

The Constitution gives __________ the power to borrow,coin,and print money.

Accepted Answer

A) Congress 
B) the Treasury Department 
C) the Federal Reserve Board 
D) the president 
A) Congress 
B) the Treasury Department 
C) the Federal Reserve Board 
D) the president

Question 9

Which of the following is an ongoing challenge in the area of environmental regulation?

Accepted Answer

A) convincing the public to support environmental protection 
B) convincing the federal government to become involved,given that most environmental problems are dealt with at the state level 
C) anticipating the impacts of increasingly sophisticated technology 
D) finding ways to reverse the trend of increasing air and water pollution 
A) convincing the public to support environmental protection 
B) convincing the federal government to become involved,given that most environmental problems are dealt with at the state level 
C) anticipating the impacts of increasingly sophisticated technology 
D) finding ways to reverse the trend of increasing air and water pollution

Question 10

According to economists,what are the stages of the normal business cycle?

Accepted Answer

A) contraction,expansion,recession,and recovery 
B) expansion,contraction recession,and recovery 
C) growth,depression,recession,and recovery 
D) slow-down,rebound,and stability 
A) contraction,expansion,recession,and recovery 
B) expansion,contraction recession,and recovery 
C) growth,depression,recession,and recovery 
D) slow-down,rebound,and stability

Question 11

The best way to influence the money supply is through fiscal policy.

Accepted Answer

A) True 
 B)False

Question 12

The most recent economic crisis was a depression.

Accepted Answer

A) True 
 B)False

Question 13

Laissez-faire economics holds which of the following to be true?

Accepted Answer

A) The government should actively intervene in the economy. 
B) The government should not take an active role in the economy. 
C) The government should do everything possible to reduce unemployment. 
D) The government should lower interest rates during a recession. 
A) The government should actively intervene in the economy. 
B) The government should not take an active role in the economy. 
C) The government should do everything possible to reduce unemployment. 
D) The government should lower interest rates during a recession.

Question 14

Which of the following is a consequence of offshore outsourcing?

Accepted Answer

A) a decrease in monopolies and other unfair business practices 
B) stronger international policies to protect the environment 
C) higher prices on consumer goods 
D) widespread unemployment in heavy industries 
A) a decrease in monopolies and other unfair business practices 
B) stronger international policies to protect the environment 
C) higher prices on consumer goods 
D) widespread unemployment in heavy industries

Question 15

Why do adjustments to interest rates by the Federal Reserve Board matter?

Accepted Answer

An ideal response will:
1.Explain the ro

Question 16

Discuss the recent economic crisis and recession.What happened and why? Should the government take any steps to prevent this from happening again? If so,what steps? If not,why not?

Accepted Answer

An ideal response will:
1.Outline the fa

Question 17

Advocates of aggressive monetary policy contend that the key factor affecting the economy's performance is __________.

Accepted Answer

A) the federal funds rate 
B) inflation 
C) the money supply 
D) tax expenditures 
A) the federal funds rate 
B) inflation 
C) the money supply 
D) tax expenditures

Question 18

Keynesians would likely approve of the recent government stimulus package passed by Congress to deal with the economic crisis of the Great Recession.

Accepted Answer

A) True 
 B)False

Question 19

What is the World Trade Organization,and what is its purpose? What,if any,are the disadvantages of the policies promoted by this entity?

Accepted Answer

An ideal response will:
1.Describe the W

Question 20

The ___________ is responsible for overseeing the budget process on behalf of the president.

Accepted Answer

Office of

Why do most economists oppose protectionism?

The __________ tax is only used at the state and local level.

The primary purpose of deregulation is to __________ the amount of government intervention in the economy.

The signing of the North American Free Trade Agreement has had a significant impact on the economies of __________.

Which of the following best characterizes the federal budget process?

The size of the national debt is __________.

Because of the Great Recession,Congress is more likely to deregulate commercial and investment banks.

The Constitution gives __________ the power to borrow,coin,and print money.

Which of the following is an ongoing challenge in the area of environmental regulation?

According to economists,what are the stages of the normal business cycle?

The best way to influence the money supply is through fiscal policy.

The most recent economic crisis was a depression.

Laissez-faire economics holds which of the following to be true?

Which of the following is a consequence of offshore outsourcing?

Why do adjustments to interest rates by the Federal Reserve Board matter?

Discuss the recent economic crisis and recession.What happened and why? Should the government take any steps to prevent this from happening again? If so,what steps? If not,why not?

Advocates of aggressive monetary policy contend that the key factor affecting the economy's performance is __________.

Keynesians would likely approve of the recent government stimulus package passed by Congress to deal with the economic crisis of the Great Recession.

What is the World Trade Organization,and what is its purpose? What,if any,are the disadvantages of the policies promoted by this entity?

The ___________ is responsible for overseeing the budget process on behalf of the president.

Constitutional Democracy

Constitutional Foundations

American Federalism

The American Political Landscape

Interest Groups

Political Parties

Public Opinion, ideology, participation, and Voting

Campaigns and Elections

The Media and Uspolitics

Congress

The Presidency

The Federal Bureaucracy and the Public Policy Process

The Judiciary: the Balancing Branch

Civil Liberties

Civil Rights

Making Social Policy

Making Foreign and Defense Policy

Filters

Exam 16: Making Economic Policy

Why do most economists oppose protectionism?

The __________ tax is only used at the state and local level.

The primary purpose of deregulation is to __________ the amount of government intervention in the economy.

The signing of the North American Free Trade Agreement has had a significant impact on the economies of __________.

Which of the following best characterizes the federal budget process?

The size of the national debt is __________.

Because of the Great Recession,Congress is more likely to deregulate commercial and investment banks.

The Constitution gives __________ the power to borrow,coin,and print money.

Which of the following is an ongoing challenge in the area of environmental regulation?

According to economists,what are the stages of the normal business cycle?

The best way to influence the money supply is through fiscal policy.

The most recent economic crisis was a depression.

Laissez-faire economics holds which of the following to be true?

Which of the following is a consequence of offshore outsourcing?

Why do adjustments to interest rates by the Federal Reserve Board matter?

Discuss the recent economic crisis and recession.What happened and why? Should the government take any steps to prevent this from happening again? If so,what steps? If not,why not?

Advocates of aggressive monetary policy contend that the key factor affecting the economy's performance is __________.

Keynesians would likely approve of the recent government stimulus package passed by Congress to deal with the economic crisis of the Great Recession.

What is the World Trade Organization,and what is its purpose? What,if any,are the disadvantages of the policies promoted by this entity?

The ___________ is responsible for overseeing the budget process on behalf of the president.

Constitutional Democracy

Constitutional Foundations

American Federalism

The American Political Landscape

Interest Groups

Political Parties

Public Opinion, ideology, participation, and Voting

Campaigns and Elections

The Media and Uspolitics

Congress

The Presidency

The Federal Bureaucracy and the Public Policy Process

The Judiciary: the Balancing Branch

Civil Liberties

Civil Rights

Making Social Policy

Making Foreign and Defense Policy

Filters