Question 1

The two types of taxes that are most important to state and local governments as sources of revenue are

Accepted Answer

A) individual income taxes and corporate income taxes. 
B) sales taxes and individual income taxes. 
C) sales taxes and property taxes. 
D) social insurance taxes and property taxes. 
A) individual income taxes and corporate income taxes. 
B) sales taxes and individual income taxes. 
C) sales taxes and property taxes. 
D) social insurance taxes and property taxes.

Question 2

When government receipts exceed total government spending during a fiscal year,the difference is

Accepted Answer

A) a budget surplus. 
B) a budget deficit. 
C) the national debt. 
D) automatically refunded. 
A) a budget surplus. 
B) a budget deficit. 
C) the national debt. 
D) automatically refunded.

Question 3

In 2011,the U.S.federal government collected approximately what percentage of the taxes in the economy?

Accepted Answer

A) 10% 
B) 40% 
C) 50% 
D) 67% 
A) 10% 
B) 40% 
C) 50% 
D) 67%

Question 4

Corporate profits distributed as dividends are

Accepted Answer

A) tax free. 
B) taxed once. 
C) taxed twice. 
D) taxed three times. 
A) tax free. 
B) taxed once. 
C) taxed twice. 
D) taxed three times.

Question 5

The tax that generates the most revenue for state and local government is the

Accepted Answer

A) corporate income tax. 
B) individual income tax. 
C) property tax. 
D) sales tax. 
A) corporate income tax. 
B) individual income tax. 
C) property tax. 
D) sales tax.

Question 6

Rank the following state and local government expenditure categories from smallest to largest.

Accepted Answer

A) education,health,highways 
B) education,highways,health 
C) highways,health,education 
D) health,education,highways. 
A) education,health,highways 
B) education,highways,health 
C) highways,health,education 
D) health,education,highways.

Question 7

The largest source of income for the federal government is

Accepted Answer

A) individual income taxes. 
B) corporate taxes. 
C) tariffs. 
D) "sin" taxes on alcohol and cigarettes. 
A) individual income taxes. 
B) corporate taxes. 
C) tariffs. 
D) "sin" taxes on alcohol and cigarettes.

Question 8

The U.S.federal government collects about

Accepted Answer

A) one-third of the taxes in our economy. 
B) one-half of the taxes in our economy. 
C) two-thirds of the taxes in our economy. 
D) three-fourths of the taxes in our economy. 
A) one-third of the taxes in our economy. 
B) one-half of the taxes in our economy. 
C) two-thirds of the taxes in our economy. 
D) three-fourths of the taxes in our economy.

Question 9

State and local governments

Accepted Answer

A) use a mix of taxes and fees to generate revenue. 
B) are required by federal mandate to levy income taxes. 
C) are required to tax property at a standard rate set by the federal government. 
D) must tax wages more heavily than interest and dividend income. 
A) use a mix of taxes and fees to generate revenue. 
B) are required by federal mandate to levy income taxes. 
C) are required to tax property at a standard rate set by the federal government. 
D) must tax wages more heavily than interest and dividend income.

Question 10

Taxes on specific goods such as gasoline and alcoholic beverages are called

Accepted Answer

A) excise taxes. 
B) payroll taxes. 
C) sales taxes. 
D) social insurance taxes. 
A) excise taxes. 
B) payroll taxes. 
C) sales taxes. 
D) social insurance taxes.

Question 11

In 2011,federal government receipts were approximately

Accepted Answer

A) $4,000 per person and federal government spending was approximately $8,000 per person,resulting in a budget deficit. 
B) $8,000 per person and federal government spending was approximately $12,000 per person,resulting in a budget deficit. 
C) $12,000 per person and federal government spending was approximately $8,000 per person,resulting in a budget surplus. 
D) $8,000 per person and federal government spending was approximately $4,000 per person,resulting in a budget surplus. 
A) $4,000 per person and federal government spending was approximately $8,000 per person,resulting in a budget deficit. 
B) $8,000 per person and federal government spending was approximately $12,000 per person,resulting in a budget deficit. 
C) $12,000 per person and federal government spending was approximately $8,000 per person,resulting in a budget surplus. 
D) $8,000 per person and federal government spending was approximately $4,000 per person,resulting in a budget surplus.

Question 12

Medicaid is

Accepted Answer

A) the government's health plan for the elderly. 
B) the government's health plan for the poor. 
C) another name for Social Security. 
D) Both a and c are correct. 
A) the government's health plan for the elderly. 
B) the government's health plan for the poor. 
C) another name for Social Security. 
D) Both a and c are correct.

Question 13

A family's income tax liability is

Accepted Answer

A) a standard percentage of all income earned. 
B) determined by wage income rather than dividend and interest income. 
C) based on total income. 
D) constant from year to year. 
A) a standard percentage of all income earned. 
B) determined by wage income rather than dividend and interest income. 
C) based on total income. 
D) constant from year to year.

Question 14

Which of the following is true about the percent of total income all levels of government in the U.S.take as taxes?

Accepted Answer

A) In 1902 the government collected about 7 percent of total income.In recent years,it collected about 30 percent of total income. 
B) In 1902 the government collected about 30 percent of total income.In recent years,it collected about 7 percent of total income. 
C) In 1902 the government collected about 7 percent of total income.In recent years,it collected about 7 percent of total income. 
D) In 1902 the government collected about 30 percent of total income.In recent years,it collected about 30 percent of total income. 
A) In 1902 the government collected about 7 percent of total income.In recent years,it collected about 30 percent of total income. 
B) In 1902 the government collected about 30 percent of total income.In recent years,it collected about 7 percent of total income. 
C) In 1902 the government collected about 7 percent of total income.In recent years,it collected about 7 percent of total income. 
D) In 1902 the government collected about 30 percent of total income.In recent years,it collected about 30 percent of total income.

Question 15

Which type of tax is used to finance the Social Security program in the United States?

Accepted Answer

A) consumption tax 
B) income tax 
C) payroll tax 
D) property tax 
A) consumption tax 
B) income tax 
C) payroll tax 
D) property tax

Question 16

The U.S.federal government spends its revenues in a number of ways.Rank the following spending categories from largest to smallest.

Accepted Answer

A) income security,health,national defense,net interest 
B) health,national defense,net interest,income security 
C) net interest,health,income security,national defense 
D) national defense,income security,net interest,health 
A) income security,health,national defense,net interest 
B) health,national defense,net interest,income security 
C) net interest,health,income security,national defense 
D) national defense,income security,net interest,health

Question 17

For state and local governments,in 2011,sales taxes and property taxes made up approximately

Accepted Answer

A) 10 percent of all receipts. 
B) 22 percent of all receipts. 
C) 33 percent of all receipts. 
D) 43 percent of all receipts. 
A) 10 percent of all receipts. 
B) 22 percent of all receipts. 
C) 33 percent of all receipts. 
D) 43 percent of all receipts.

Question 18

The federal healthcare spending program that specifically targets the poor is called

Accepted Answer

A) Medicaid. 
B) Medicare. 
C) National Institutes of Health. 
D) Blue Cross/Blue Shield. 
A) Medicaid. 
B) Medicare. 
C) National Institutes of Health. 
D) Blue Cross/Blue Shield.

Question 19

The payroll tax differs from the individual income tax because the payroll tax is primarily earmarked to pay for

Accepted Answer

A) employer-provided pensions. 
B) Social Security and Medicare. 
C) employer-provided health benefits. 
D) job loss and training programs. 
A) employer-provided pensions. 
B) Social Security and Medicare. 
C) employer-provided health benefits. 
D) job loss and training programs.

Question 20

In 2011,what percentage of federal government receipts came from corporate income taxes?

Accepted Answer

A) 7% 
B) 12% 
C) 25% 
D) 43% 
A) 7% 
B) 12% 
C) 25% 
D) 43%

Exam 24: A-Financial-Overview-Of-The-US

The two types of taxes that are most important to state and local governments as sources of revenue are

When government receipts exceed total government spending during a fiscal year,the difference is

In 2011,the U.S.federal government collected approximately what percentage of the taxes in the economy?

Corporate profits distributed as dividends are

The tax that generates the most revenue for state and local government is the

Rank the following state and local government expenditure categories from smallest to largest.

The largest source of income for the federal government is

The U.S.federal government collects about

State and local governments

Taxes on specific goods such as gasoline and alcoholic beverages are called

In 2011,federal government receipts were approximately

Medicaid is

A family's income tax liability is

Which of the following is true about the percent of total income all levels of government in the U.S.take as taxes?

Which type of tax is used to finance the Social Security program in the United States?

The U.S.federal government spends its revenues in a number of ways.Rank the following spending categories from largest to smallest.

For state and local governments,in 2011,sales taxes and property taxes made up approximately

The federal healthcare spending program that specifically targets the poor is called

The payroll tax differs from the individual income tax because the payroll tax is primarily earmarked to pay for

In 2011,what percentage of federal government receipts came from corporate income taxes?

Ten Principles of Economics

Ten Principles of Economics: How People Make Decisions

Ten Principles of Economics: How People Interact

Ten Principles of Economics: How the Economy As a Whole Works

Ten Principles of Economics: Part A

Ten Principles of Economics: Part B

Thinking Like an Economist

Thinking Like an Economist: The Economist As Scientist

Thinking Like an Economist: The Economist As Policy Adviser

Thinking Like an Economist: Why Economists Disagree

Thinking Like an Economist: Lets Get Going

Thinking Like an Economist: Graphing a Brief Review

Thinking Like an Economist: Part A

Thinking Like an Economist: Part B

Interdependence and the Gains From Trade

Interdependence and the Gains From Trade: A Parable for the Modern Economy

Interdependence and the Gains From Trade: Comparative Advantage the Driving Force of Specialization

Interdependence and the Gains From Trade: Applications of Comparative Advantage

Interdependence and the Gains From Trade: Conclusion

Interdependence and the Gains From Trade: Part A

Interdependence and the Gains From Trade: Part B

The Market Forces of Supply and Demand

The Market Forces of Supply and Demand:Markets and Competition

The Market Forces of Supply and Demand: Demand

The Market Forces of Supply and Demand: Supply

The Market Forces of Supply and Demand: Supply and Demand Together

The Market Forces of Supply and DemandConclusion How Prices Allocate Resources

The Market Forces of Supply and Demand: Part A

The Market Forces of Supply and Demand: Part B

Elasticity and Its Applications

Elasticity and Its Applications: The Elasticity of Demand

Elasticity and Its Applications: The Elasticity of Supply

Elasticity and Its Applications: Three Applications of Supply,demand,and Elasticity

Elasticity and Its Applications: Part A

Elasticity and Its Applications: Part B

Supply Demand and Government Policies

Supply Demand and Government Policies: Controls on Prices

Supply Demand and Government Policies: Taxes

Supply Demand and Government Policies: Part A

Supply Demand and Government Policies: Part B

Consumers Producers and the Efficiency of Markets

Consumers Producers and the Efficiency of Markets: Consumer Surplus

Consumers Producers and the Efficiency of Markets: Producer Surplus

Consumers Producers and the Efficiency of Markets: Market Efficiency

Consumers Producers and the Efficiency of Markets: Conclusion Market Efficiency and Market Failure

Consumers Producers and the Efficiency of Markets: Part A

Consumers Producers and the Efficiency of Markets: Part B

Application the Cost of Taxation

Application the Cost of Taxation: The Deadweight Loss of Taxation

Application the Cost of Taxation: The Determinants of the Deadweight Loss

Application the Cost of Taxation: Deadweight Loss and Tax Revenue As Taxes Vary

Application the Cost of Taxation: Conclusion

Application the Cost of Taxation: Part A

Application the Cost of Taxation: Part B

Application International Trade

Application International Trade: The Determinants of Trade

Application International Trade: The Winners and Losers From Trade

Application International Trade: The Arguments for Restricting Trade

Application International Trade: Conclusion