Question 1

The process of periodically adjusting social benefits or wages to account for increases in the cost of living is called:

Accepted Answer

A) inflation 
B) benchmarking 
C) bracket creep 
D) benefit recalibration 
E) indexing 
A) inflation 
B) benchmarking 
C) bracket creep 
D) benefit recalibration 
E) indexing

Question 2

The government tries to promote economic stability by regulating competition.

Accepted Answer

A) True 
 B)False

Question 3

The government's use of taxing and spending powers to manipulate the economy is called:

Accepted Answer

A) fiscal policy 
B) budgeting policy 
C) pecuniary policy 
D) open-market operations 
E) social management 
A) fiscal policy 
B) budgeting policy 
C) pecuniary policy 
D) open-market operations 
E) social management

Question 4

Budgetary items that are beyond the ability of budgetary committees to alter and can be changed only by congressional legislation (or,in some instances,not even by congressional legislation)are called:

Accepted Answer

A) unforgivable 
B) discretionaries 
C) uncontrollable 
D) immutables 
E) prohibitions 
A) unforgivable 
B) discretionaries 
C) uncontrollable 
D) immutables 
E) prohibitions

Question 5

An individual who owns his or her car and insures it usually pays all of the costs associated with running it.

Accepted Answer

A) True 
 B)False

Question 6

Unlike Social Security,Medicare is a means-tested program.

Accepted Answer

A) True 
 B)False

Question 7

National tariff policies promote domestic markets by:

Accepted Answer

A) encouraging free trade 
B) restricting imported goods 
C) building interstate transportation links 
D) subsidizing family farmers and urban industries 
E) bringing inexpensive labor to the United States 
A) encouraging free trade 
B) restricting imported goods 
C) building interstate transportation links 
D) subsidizing family farmers and urban industries 
E) bringing inexpensive labor to the United States

Question 8

The modern system of central banks that facilitates exchanges of cash,checks,and credit is called the:

Accepted Answer

A) Bank of the United States 
B) Central Banking Administration 
C) Federal Reserve System 
D) Washington Mutual Bank 
E) Department of the Treasury 
A) Bank of the United States 
B) Central Banking Administration 
C) Federal Reserve System 
D) Washington Mutual Bank 
E) Department of the Treasury

Question 9

Which of the following policies is NOT a fiscal policy?

Accepted Answer

A) cutting the income tax 
B) raising a tariff 
C) eliminating the capital gain 
D) borrowing money for federal spending 
E) changing the federal funds rate 
A) cutting the income tax 
B) raising a tariff 
C) eliminating the capital gain 
D) borrowing money for federal spending 
E) changing the federal funds rate

Question 10

Public expenditures for Aid to Families with Dependent Children (AFDC)did not rise as much as Social Security during the mid-1970s because:

Accepted Answer

A) many state governments chose not to participate 
B) eligibility qualifications were severely tightened 
C) AFDC was not automatically readjusted for inflation 
D) economic expansion brought more people above the poverty line 
E) the rate of inflation was so low 
A) many state governments chose not to participate 
B) eligibility qualifications were severely tightened 
C) AFDC was not automatically readjusted for inflation 
D) economic expansion brought more people above the poverty line 
E) the rate of inflation was so low

Question 11

The market value of the goods and services produced in an economy is the:

Accepted Answer

A) gross national product (GNP) 
B) gross domestic product (GDP) 
C) net national worth 
D) net domestic worth 
E) net international economic contribution 
A) gross national product (GNP) 
B) gross domestic product (GDP) 
C) net national worth 
D) net domestic worth 
E) net international economic contribution

Question 12

The most generous TANF benefits are approximately:

Accepted Answer

A) three times the federal poverty line 
B) twice the federal poverty line 
C) equal to the federal poverty line 
D) below the federal poverty line but nonzero 
E) zero 
A) three times the federal poverty line 
B) twice the federal poverty line 
C) equal to the federal poverty line 
D) below the federal poverty line but nonzero 
E) zero

Question 13

Many market standards are developed by private-sector trade associations.

Accepted Answer

A) True 
 B)False

Question 14

The power of government to set conditions on companies seeking to sell goods or services to government agencies is called contracting power.

Accepted Answer

A) True 
 B)False

Question 15

A consistent increase in the government's intervention in the economy is called inflation.

Accepted Answer

A) True 
 B)False

Question 16

The greatest success of the Temporary Assistance for Needy Families (TANF)program has been that:

Accepted Answer

A) more individuals have taken advantage of the assistance offered 
B) out-of-wedlock births have been reduced under program participants 
C) former welfare recipients are more successful at finding and keeping jobs 
D) most families under the program have been paid well enough to be lifted out of poverty 
E) the number of abortions among families below the poverty line has decreased 
A) more individuals have taken advantage of the assistance offered 
B) out-of-wedlock births have been reduced under program participants 
C) former welfare recipients are more successful at finding and keeping jobs 
D) most families under the program have been paid well enough to be lifted out of poverty 
E) the number of abortions among families below the poverty line has decreased

Question 17

The national government administers the TANF program.

Accepted Answer

A) True 
 B)False

Question 18

Many sectors of agriculture receive federal subsidies.

Accepted Answer

A) True 
 B)False

Question 19

Which term describes a good that may be enjoyed by anyone once it is provided and may not be denied to anyone once it is provided?

Accepted Answer

A) collective action good 
B) public good 
C) externality 
D) solid good 
E) public liability 
A) collective action good 
B) public good 
C) externality 
D) solid good 
E) public liability

Question 20

What is one of the most important ways that government can protect welfare and property?

Accepted Answer

A) by maintaining law and order 
B) by granting legal monopolies for the most profitable industries 
C) by allowing states to set their own unique business regulations 
D) by supporting the unfettered use of credit-default swaps 
E) by purchasing shares of stock in all major sectors of the American economy 
A) by maintaining law and order 
B) by granting legal monopolies for the most profitable industries 
C) by allowing states to set their own unique business regulations 
D) by supporting the unfettered use of credit-default swaps 
E) by purchasing shares of stock in all major sectors of the American economy

The process of periodically adjusting social benefits or wages to account for increases in the cost of living is called:

The government tries to promote economic stability by regulating competition.

The government's use of taxing and spending powers to manipulate the economy is called:

Budgetary items that are beyond the ability of budgetary committees to alter and can be changed only by congressional legislation (or,in some instances,not even by congressional legislation)are called:

An individual who owns his or her car and insures it usually pays all of the costs associated with running it.

Unlike Social Security,Medicare is a means-tested program.

National tariff policies promote domestic markets by:

The modern system of central banks that facilitates exchanges of cash,checks,and credit is called the:

Which of the following policies is NOT a fiscal policy?

Public expenditures for Aid to Families with Dependent Children (AFDC)did not rise as much as Social Security during the mid-1970s because:

The market value of the goods and services produced in an economy is the:

The most generous TANF benefits are approximately:

Many market standards are developed by private-sector trade associations.

The power of government to set conditions on companies seeking to sell goods or services to government agencies is called contracting power.

A consistent increase in the government's intervention in the economy is called inflation.

The greatest success of the Temporary Assistance for Needy Families (TANF)program has been that:

The national government administers the TANF program.

Many sectors of agriculture receive federal subsidies.

Which term describes a good that may be enjoyed by anyone once it is provided and may not be denied to anyone once it is provided?

What is one of the most important ways that government can protect welfare and property?

Introduction: Making Sense of Government and Politics

The Founding and the Constitution

Federalism and the Separation of Powers

Civil Liberties and Civil Rights

Congress: The First Branch

The Presidency

The Executive Branch

The Federal Courts

Public Opinion and the Media

Elections

Political Parties

Groups and Interests

Foreign Policy

Filters

Exam 13: Introduction to Public Policy

The process of periodically adjusting social benefits or wages to account for increases in the cost of living is called:

The government tries to promote economic stability by regulating competition.

The government's use of taxing and spending powers to manipulate the economy is called:

Budgetary items that are beyond the ability of budgetary committees to alter and can be changed only by congressional legislation (or,in some instances,not even by congressional legislation)are called:

An individual who owns his or her car and insures it usually pays all of the costs associated with running it.

Unlike Social Security,Medicare is a means-tested program.

National tariff policies promote domestic markets by:

The modern system of central banks that facilitates exchanges of cash,checks,and credit is called the:

Which of the following policies is NOT a fiscal policy?

Public expenditures for Aid to Families with Dependent Children (AFDC)did not rise as much as Social Security during the mid-1970s because:

The market value of the goods and services produced in an economy is the:

The most generous TANF benefits are approximately:

Many market standards are developed by private-sector trade associations.

The power of government to set conditions on companies seeking to sell goods or services to government agencies is called contracting power.

A consistent increase in the government's intervention in the economy is called inflation.

The greatest success of the Temporary Assistance for Needy Families (TANF)program has been that:

The national government administers the TANF program.

Many sectors of agriculture receive federal subsidies.

Which term describes a good that may be enjoyed by anyone once it is provided and may not be denied to anyone once it is provided?

What is one of the most important ways that government can protect welfare and property?

Introduction: Making Sense of Government and Politics

The Founding and the Constitution

Federalism and the Separation of Powers

Civil Liberties and Civil Rights

Congress: The First Branch

The Presidency

The Executive Branch

The Federal Courts

Public Opinion and the Media

Elections

Political Parties

Groups and Interests

Foreign Policy

Filters