Question 1

Logrolling is the exchange of votes to gain support for legislation.

Accepted Answer

A) True 
 B)False  True

Question 2

Politicians will usually

Accepted Answer

A) prefer to discuss means rather than ends. 
B) prefer to discuss the issues in specific terms rather than in general terms. 
C) not like to be perceived as either an extreme "right-winger" or an extreme "left-winger." 
D) refer to their opponents as "middle-of-the-roaders." 
A) prefer to discuss means rather than ends. 
B) prefer to discuss the issues in specific terms rather than in general terms. 
C) not like to be perceived as either an extreme "right-winger" or an extreme "left-winger." 
D) refer to their opponents as "middle-of-the-roaders." C

Question 3

Rational ignorance exists because voters are apathetic.

Accepted Answer

A) True 
 B)False  False

Question 4

Why do many prospective voters choose to watch sports on television rather than watching the news or political roundtables?  In your answer, be sure to mention the role played by rational ignorance.

Accepted Answer

Rational ignorance is the state of not a

Question 5

Which of the following predictions is consistent with public choice theory?

Accepted Answer

A) Voters always cast votes based on whether they like a candidate's personality, not on hard facts. 
B) Many voters will be uninformed on political and government issues. 
C) Legislation enacted is rarely a result of special interest legislation. 
D) Voters always cast votes based on hard facts, not based on whether they like a candidate's personality. 
A) Voters always cast votes based on whether they like a candidate's personality, not on hard facts. 
B) Many voters will be uninformed on political and government issues. 
C) Legislation enacted is rarely a result of special interest legislation. 
D) Voters always cast votes based on hard facts, not based on whether they like a candidate's personality.

Question 6

Rent seeking is the actions of

Accepted Answer

A) individuals and groups who spend resources to influence public policy in the hope of redistributing income to themselves from others. 
B) a subset of the population that hold intense preferences for a particular government service. 
C) some citizens who choose not to acquire information because the costs of acquiring the information are greater than the benefits. 
D) politicians who exchange votes to gain support for their own legislation. 
A) individuals and groups who spend resources to influence public policy in the hope of redistributing income to themselves from others. 
B) a subset of the population that hold intense preferences for a particular government service. 
C) some citizens who choose not to acquire information because the costs of acquiring the information are greater than the benefits. 
D) politicians who exchange votes to gain support for their own legislation.

Question 7

Exhibit 32-2  
Refer to Exhibit 32-2-(c). Two candidates are competing for an electorate consisting of 11 voters labeled A-K shown positioned with respect to their ideological stands on issues. The median voter theory would predict that candidates will assume the ideological position(s)

Accepted Answer

A) of voters K and G, respectively. 
B) of voters H and J, respectively. 
C) of voters I and A, respectively. 
D) of voter E. 
A) of voters K and G, respectively. 
B) of voters H and J, respectively. 
C) of voters I and A, respectively. 
D) of voter E.

Question 8

"Logrolling" is

Accepted Answer

A) the exchange of votes to gain support for legislation. 
B) pressure that special interest groups place on politicians. 
C) when politicians refuse to go into detail and speak only in generalities. 
D) the process by which government agencies make sure they spend their allotted annual budget. 
A) the exchange of votes to gain support for legislation. 
B) pressure that special interest groups place on politicians. 
C) when politicians refuse to go into detail and speak only in generalities. 
D) the process by which government agencies make sure they spend their allotted annual budget.

Question 9

Rational ignorance is

Accepted Answer

A) a result of our educational system. 
B) the curtain, or wall, of knowledge between the persons that are educated and those that are not. 
C) the curtain behind which people choose to hide to avoid knowledge about poverty and, in general, the unequal distribution of income. 
D) the curtain separating educated voters from uneducated voters. 
E) the state of not acquiring information because the costs of acquiring it are greater than the benefits. 
A) a result of our educational system. 
B) the curtain, or wall, of knowledge between the persons that are educated and those that are not. 
C) the curtain behind which people choose to hide to avoid knowledge about poverty and, in general, the unequal distribution of income. 
D) the curtain separating educated voters from uneducated voters. 
E) the state of not acquiring information because the costs of acquiring it are greater than the benefits.

Question 10

Suppose U.S. peanut butter producers are facing increased foreign competition. Which argument is least likely to be used by the U.S. firms' lobbyists to urge legislation to restrict imports of peanut butter?

Accepted Answer

A) Peanut butter is important in military rations, so we cannot risk losing our supply of it. 
B) Foreign peanut butter is made by virtual slave labor, working in horrible conditions. 
C) Economic profits of the U.S. firms are already at a very low level. 
D) Thousands of U.S. peanut farmers face hard times without this protection against imports. 
A) Peanut butter is important in military rations, so we cannot risk losing our supply of it. 
B) Foreign peanut butter is made by virtual slave labor, working in horrible conditions. 
C) Economic profits of the U.S. firms are already at a very low level. 
D) Thousands of U.S. peanut farmers face hard times without this protection against imports.

Question 11

Simple majority voting sometimes leads to projects being undertaken whose costs are greater than the benefits. How is this possible?

Accepted Answer

A) It is not possible, unless the voting results are rigged. 
B) Because voters have no way to express the intensity of their preferences. 
C) Because many voters choose to be rationally ignorant. 
D) Because free riding is pervasive. 
A) It is not possible, unless the voting results are rigged. 
B) Because voters have no way to express the intensity of their preferences. 
C) Because many voters choose to be rationally ignorant. 
D) Because free riding is pervasive.

Question 12

Exhibit 32-4
 
Refer to Exhibit 32-4.  At the market equilibrium price of the good, producers' surplus is the area

Accepted Answer

A) D + E 
B) A + B + C + D + E 
C) A + B + C 
D) C + E 
A) D + E 
B) A + B + C + D + E 
C) A + B + C 
D) C + E

Question 13

Which of the following is false ?

Accepted Answer

A) It is possible for a person to be uninformed on who is running for president, what the candidates stand for, and on everything else connected with presidential politics and still be rational. 
B) Failure to vote in an election is not necessarily a sign of apathy. 
C) Informed voters necessarily have a larger impact on elections than uninformed voters. 
D) Informed voters may have a larger impact on an election than uninformed voters. 
A) It is possible for a person to be uninformed on who is running for president, what the candidates stand for, and on everything else connected with presidential politics and still be rational. 
B) Failure to vote in an election is not necessarily a sign of apathy. 
C) Informed voters necessarily have a larger impact on elections than uninformed voters. 
D) Informed voters may have a larger impact on an election than uninformed voters.

Question 14

Special interest groups

Accepted Answer

A) often gain from public policies that may not be in accord with the interests of the general public. 
B) never gain from public policies that are not in accord with the interests of the general public. 
C) always gain from public policies that are not in accord with the interests of the general public. 
D) never lobby for public policies that are not in accord with the interests of the general public. 
E) always lobby for public policies that are not in accord with the interests of the general public. 
A) often gain from public policies that may not be in accord with the interests of the general public. 
B) never gain from public policies that are not in accord with the interests of the general public. 
C) always gain from public policies that are not in accord with the interests of the general public. 
D) never lobby for public policies that are not in accord with the interests of the general public. 
E) always lobby for public policies that are not in accord with the interests of the general public.

Question 15

Exhibit 32-1  
Refer to Exhibit 32-1. The exhibit shows the breakdown of benefits and costs for a four-person town of a proposed $1,200 purchase of books for the public library. How will each of the four persons, A-D, vote? (The first answer in the list is how person A would vote, the second is how person B would vote, and so on, so that "for" indicates that the individual would be in favor of having the additional books purchased by the library.)

Accepted Answer

A) for; for; for; for 
B) against; for; against; against 
C) for; against; against; against 
D) for; against; for; for 
A) for; for; for; for 
B) against; for; against; against 
C) for; against; against; against 
D) for; against; for; for

Question 16

It has often been remarked that Democratic candidates are more liberal in the Democratic primaries and Republican candidates are more conservative in the Republican primaries than either is in the general election. The explanation for this is most probably that

Accepted Answer

A) they are facing politically different opponents in the two elections. 
B) the median voter preferences are more to the left (right)in the primaries than in the general election. 
C) more people vote in the general election than in the primaries. 
D) candidates are not as likely to locate the position of the median voter in the (earlier)primaries as they are in the (later)general election. 
A) they are facing politically different opponents in the two elections. 
B) the median voter preferences are more to the left (right)in the primaries than in the general election. 
C) more people vote in the general election than in the primaries. 
D) candidates are not as likely to locate the position of the median voter in the (earlier)primaries as they are in the (later)general election.

Question 17

The voting outcome and the most preferred outcome of the median voter are the same in a simple majority vote where there are several options from which to choose.

Accepted Answer

A) True 
 B)False

Question 18

A political candidate running in a two-person race is likely to occupy

Accepted Answer

A) an extreme end of the political spectrum and hope that his or her opponent will gravitate toward the middle so that he or she can then claim that his or her opponent has flip-flopped. 
B) the middle of the political spectrum and label his or her opponent as an extremist (either liberal or conservative). 
C) a position somewhere between the middle of the political spectrum and an extreme end so that he or she can move either way shortly before the election. 
D) one extreme end of the political spectrum early in the race and the other extreme end near the end of the race. 
A) an extreme end of the political spectrum and hope that his or her opponent will gravitate toward the middle so that he or she can then claim that his or her opponent has flip-flopped. 
B) the middle of the political spectrum and label his or her opponent as an extremist (either liberal or conservative). 
C) a position somewhere between the middle of the political spectrum and an extreme end so that he or she can move either way shortly before the election. 
D) one extreme end of the political spectrum early in the race and the other extreme end near the end of the race.

Question 19

Political candidates tend to identify themselves as being "middle-of-the-roaders", while they tend to label their opponents as a member of the political fringe.

Accepted Answer

A) True 
 B)False

Question 20

The answer is: "rational ignorance." What is the question?

Accepted Answer

A) Why do special interest groups lobby politicians? 
B) What causes a candidate in a two-person political race to take polls? 
C) What explains why voters often know very little about the candidates and the issues? 
D) What motivates the free rider? 
A) Why do special interest groups lobby politicians? 
B) What causes a candidate in a two-person political race to take polls? 
C) What explains why voters often know very little about the candidates and the issues? 
D) What motivates the free rider?

Exam 18: Public Choice and Special-Interest-Group Politics

Logrolling is the exchange of votes to gain support for legislation.

Politicians will usually

Rational ignorance exists because voters are apathetic.

Why do many prospective voters choose to watch sports on television rather than watching the news or political roundtables? In your answer, be sure to mention the role played by rational ignorance.

Which of the following predictions is consistent with public choice theory?

Rent seeking is the actions of

Exhibit 32-2 Refer to Exhibit 32-2-(c). Two candidates are competing for an electorate consisting of 11 voters labeled A-K shown positioned with respect to their ideological stands on issues. The median voter theory would predict that candidates will assume the ideological position(s)

"Logrolling" is

Rational ignorance is

Suppose U.S. peanut butter producers are facing increased foreign competition. Which argument is least likely to be used by the U.S. firms' lobbyists to urge legislation to restrict imports of peanut butter?

Simple majority voting sometimes leads to projects being undertaken whose costs are greater than the benefits. How is this possible?

Exhibit 32-4 Refer to Exhibit 32-4. At the market equilibrium price of the good, producers' surplus is the area

Which of the following is false ?

Special interest groups

It has often been remarked that Democratic candidates are more liberal in the Democratic primaries and Republican candidates are more conservative in the Republican primaries than either is in the general election. The explanation for this is most probably that

The voting outcome and the most preferred outcome of the median voter are the same in a simple majority vote where there are several options from which to choose.

A political candidate running in a two-person race is likely to occupy

Political candidates tend to identify themselves as being "middle-of-the-roaders", while they tend to label their opponents as a member of the political fringe.

The answer is: "rational ignorance." What is the question?

What Economics Is About

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