Question 1

___________ represent the imbalance when government expenditures exceed federal tax revenues.

Accepted Answer

The answer of ___________ represent the imbalance when government expenditures...

Question 2

In general,a recession does which of these?

Accepted Answer

A) generates a response by state governments 
B) generates a response by the federal government 
C) lasts at least a year 
D) leads to higher inflation 
A) generates a response by state governments 
B) generates a response by the federal government 
C) lasts at least a year 
D) leads to higher inflation

Question 3

The unemployment rate is measured each month by the U.S.Department of Commerce.

Accepted Answer

A) True 
 B)False

Question 4

Which of the following provides the greatest source of revenue for the federal government?

Accepted Answer

A) income taxes 
B) Medicaid taxes 
C) regressive taxes 
D) Social Security taxes 
A) income taxes 
B) Medicaid taxes 
C) regressive taxes 
D) Social Security taxes

Question 5

__________ has the primary responsibility for determining interest rates in the United States.

Accepted Answer

A) Congress 
B) Wall Street 
C) The Federal Reserve Board 
D) The Department of the Treasury 
A) Congress 
B) Wall Street 
C) The Federal Reserve Board 
D) The Department of the Treasury

Question 6

Why is almost half of all personal income not taxed?

Accepted Answer

A) because federal tax rates only apply to adjusted gross income 
B) because federal tax rates only apply to taxable income 
C) because federal tax rates only apply to tax expenditures 
D) because half of all income comes from capital gains,which are not taxed 
A) because federal tax rates only apply to adjusted gross income 
B) because federal tax rates only apply to taxable income 
C) because federal tax rates only apply to tax expenditures 
D) because half of all income comes from capital gains,which are not taxed

Question 7

Medicare is what type of federal program?

Accepted Answer

A) arbitrary 
B) discretionary 
C) entitlement 
D) in-kind 
A) arbitrary 
B) discretionary 
C) entitlement 
D) in-kind

Question 8

Which of the following statements regarding the role of the federal government in the economy is correct?

Accepted Answer

A) Economic regulation of industry is the sole responsibility of the secretary of the treasury. 
B) Most Americans would prefer an economy completely free of any federal regulations. 
C) Since the Great Recession,the scope of federal activity in the economy has contracted. 
D) Presidential election outcomes are heavily influenced by the health of the economy. 
A) Economic regulation of industry is the sole responsibility of the secretary of the treasury. 
B) Most Americans would prefer an economy completely free of any federal regulations. 
C) Since the Great Recession,the scope of federal activity in the economy has contracted. 
D) Presidential election outcomes are heavily influenced by the health of the economy.

Question 9

What is the main purpose of monetary policy?

Accepted Answer

A) to affect how much money is available to businesses and banks 
B) to control the amount of public debt sold to foreign states 
C) to control the interest rates on money lent to foreign states 
D) to equalize income disparity among citizens of the United States 
A) to affect how much money is available to businesses and banks 
B) to control the amount of public debt sold to foreign states 
C) to control the interest rates on money lent to foreign states 
D) to equalize income disparity among citizens of the United States

Question 10

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

Accepted Answer

A) True 
 B)False

Question 11

Which of the following is a tax expenditure?

Accepted Answer

A) a deductible contribution to an IRA 
B) the estate tax 
C) an excise tax 
D) the Social Security payroll 
A) a deductible contribution to an IRA 
B) the estate tax 
C) an excise tax 
D) the Social Security payroll

Question 12

Which of the following statements best describes the relationship between the unemployment rate and GDP growth?

Accepted Answer

A) As unemployment rates soar,the GDP follows suit. 
B) GDP growth typically predicts rising unemployment rates. 
C) The media focuses primarily on the unemployment rate,but the GDP is the best measure of the national economy. 
D) Unemployment lags behind GDP growth,going down only after the recovery has begun. 
A) As unemployment rates soar,the GDP follows suit. 
B) GDP growth typically predicts rising unemployment rates. 
C) The media focuses primarily on the unemployment rate,but the GDP is the best measure of the national economy. 
D) Unemployment lags behind GDP growth,going down only after the recovery has begun.

Question 13

The most dramatic change in federal tax laws occurred during the years when __________ was president.

Accepted Answer

A) George H.W.Bush 
B) George W.Bush 
C) Gerald Ford 
D) Ronald Reagan 
A) George H.W.Bush 
B) George W.Bush 
C) Gerald Ford 
D) Ronald Reagan

Question 14

Which of these statements best describes the influence of interest rate adjustments by the Federal Reserve?

Accepted Answer

A) They always lead to lower rates of marginal taxes. 
B) They can lead to higher unemployment in years of budget deficits. 
C) They can spur economic growth by increasing the cost of money for business. 
D) They can spur economic growth by increasing the available money supply. 
A) They always lead to lower rates of marginal taxes. 
B) They can lead to higher unemployment in years of budget deficits. 
C) They can spur economic growth by increasing the cost of money for business. 
D) They can spur economic growth by increasing the available money supply.

Question 15

The most recent economic crisis was a depression.

Accepted Answer

A) True 
 B)False

Question 16

What is the source of funding for Social Security?

Accepted Answer

A) sales taxes 
B) payroll taxes 
C) progressive taxes 
D) property taxes 
A) sales taxes 
B) payroll taxes 
C) progressive taxes 
D) property taxes

Question 17

Discuss the 2008-2009 economic crisis and recession.What happened and why? What steps did Congress take in response? What steps,if any,should the government take to prevent this from happening again,and why?

Accepted Answer

An ideal response will:
1.Outline the fa

Question 18

Discuss the differences in philosophy,key actors,and tools of fiscal and monetary policy.Should the federal government give preference to one to the other? Why or why not?

Accepted Answer

An ideal response will:
1.Discuss the di

Question 19

The Constitution of the United States places all taxing,borrowing,and spending powers in the hands of __________.

Accepted Answer

A) Congress 
B) the citizens 
C) the federal government 
D) the president 
A) Congress 
B) the citizens 
C) the federal government 
D) the president

Question 20

Why are some social welfare programs referred to as entitlements?

Accepted Answer

A) because benefits are distributed automatically to citizens who qualify,based on a set of legal rights to benefits 
B) because they are benefits available only to the working poor in the United States 
C) because they are benefits funded through the Title 9 section of the 1965 Civil Rights Act 
D) because they are benefits that are distributed on a case-by-case basis to select citizens in extreme need 
A) because benefits are distributed automatically to citizens who qualify,based on a set of legal rights to benefits 
B) because they are benefits available only to the working poor in the United States 
C) because they are benefits funded through the Title 9 section of the 1965 Civil Rights Act 
D) because they are benefits that are distributed on a case-by-case basis to select citizens in extreme need

___________ represent the imbalance when government expenditures exceed federal tax revenues.

In general,a recession does which of these?

The unemployment rate is measured each month by the U.S.Department of Commerce.

Which of the following provides the greatest source of revenue for the federal government?

__________ has the primary responsibility for determining interest rates in the United States.

Why is almost half of all personal income not taxed?

Medicare is what type of federal program?

Which of the following statements regarding the role of the federal government in the economy is correct?

What is the main purpose of monetary policy?

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

Which of the following is a tax expenditure?

Which of the following statements best describes the relationship between the unemployment rate and GDP growth?

The most dramatic change in federal tax laws occurred during the years when __________ was president.

Which of these statements best describes the influence of interest rate adjustments by the Federal Reserve?

The most recent economic crisis was a depression.

What is the source of funding for Social Security?

Discuss the 2008-2009 economic crisis and recession.What happened and why? What steps did Congress take in response? What steps,if any,should the government take to prevent this from happening again,and why?

Discuss the differences in philosophy,key actors,and tools of fiscal and monetary policy.Should the federal government give preference to one to the other? Why or why not?

The Constitution of the United States places all taxing,borrowing,and spending powers in the hands of __________.

Why are some social welfare programs referred to as entitlements?

Politics: Who Gets What,When and How 1

Political Culture: Ideas in Conflict

The Constitution: Limiting Governmental Power

Federalism: Dividing Governmental Power

Opinion and Participation: Thinking and Acting in Politics

Mass Media: Setting the Political Agenda

Political Parties: Organizing Politics

Campaigns and Elections: Deciding Who Governs

Interest Groups: Getting Their Share and More

Congress: Politics on Capitol Hill

The President: White House Politics

The Bureaucracy: Bureaucratic Politics

Courts Judicial Politics

Politics and Personal Liberty

Politics and Civil Rights

Politics and Social Welfare

Politics and National Security

Filters

Exam 16: Politics and the Economy

___________ represent the imbalance when government expenditures exceed federal tax revenues.

In general,a recession does which of these?

The unemployment rate is measured each month by the U.S.Department of Commerce.

Which of the following provides the greatest source of revenue for the federal government?

__________ has the primary responsibility for determining interest rates in the United States.

Why is almost half of all personal income not taxed?

Medicare is what type of federal program?

Which of the following statements regarding the role of the federal government in the economy is correct?

What is the main purpose of monetary policy?

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

Which of the following is a tax expenditure?

Which of the following statements best describes the relationship between the unemployment rate and GDP growth?

The most dramatic change in federal tax laws occurred during the years when __________ was president.

Which of these statements best describes the influence of interest rate adjustments by the Federal Reserve?

The most recent economic crisis was a depression.

What is the source of funding for Social Security?

Discuss the 2008-2009 economic crisis and recession.What happened and why? What steps did Congress take in response? What steps,if any,should the government take to prevent this from happening again,and why?

Discuss the differences in philosophy,key actors,and tools of fiscal and monetary policy.Should the federal government give preference to one to the other? Why or why not?

The Constitution of the United States places all taxing,borrowing,and spending powers in the hands of __________.

Why are some social welfare programs referred to as entitlements?

Politics: Who Gets What,When and How 1

Political Culture: Ideas in Conflict

The Constitution: Limiting Governmental Power

Federalism: Dividing Governmental Power

Opinion and Participation: Thinking and Acting in Politics

Mass Media: Setting the Political Agenda

Political Parties: Organizing Politics

Campaigns and Elections: Deciding Who Governs

Interest Groups: Getting Their Share and More

Congress: Politics on Capitol Hill

The President: White House Politics

The Bureaucracy: Bureaucratic Politics

Courts Judicial Politics

Politics and Personal Liberty

Politics and Civil Rights

Politics and Social Welfare

Politics and National Security

Filters