Question 1

Which of the following is an example of an excise tax?

Accepted Answer

A) a tax on the wages that a firm pays its workers 
B) a tax on tobacco 
C) a tax on corporate profits 
D) the portion of federal income taxes earmarked to pay for Social Security and Medicare 
A) a tax on the wages that a firm pays its workers 
B) a tax on tobacco 
C) a tax on corporate profits 
D) the portion of federal income taxes earmarked to pay for Social Security and Medicare

Question 2

The largest source of revenue for the federal government is the

Accepted Answer

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

Question 3

Which of the following statements is correct?

Accepted Answer

A) National defense and health are the two largest spending categories for the federal government. 
B) Welfare programs and highways are the two largest spending categories for state and local governments. 
C) Sales taxes and property taxes are the two most important revenue sources for state and local governments. 
D) Corporate income taxes are the largest source of revenue for the federal government. 
A) National defense and health are the two largest spending categories for the federal government. 
B) Welfare programs and highways are the two largest spending categories for state and local governments. 
C) Sales taxes and property taxes are the two most important revenue sources for state and local governments. 
D) Corporate income taxes are the largest source of revenue for the federal government.

Question 4

State and local governments receive the largest portion of their tax revenues from

Accepted Answer

A) sales taxes and income taxes. 
B) income taxes and property taxes. 
C) payroll taxes and income taxes. 
D) property taxes and sales taxes. 
A) sales taxes and income taxes. 
B) income taxes and property taxes. 
C) payroll taxes and income taxes. 
D) property taxes and sales taxes.

Question 5

A budget deficit

Accepted Answer

A) occurs when government receipts are less than spending. 
B) occurs when government spending is less than receipts. 
C) occurs when government receipts are equal to spending. 
D) is the accumulation of years of government overspending. 
A) occurs when government receipts are less than spending. 
B) occurs when government spending is less than receipts. 
C) occurs when government receipts are equal to spending. 
D) is the accumulation of years of government overspending.

Question 6

The federal taxes owed by a taxpayer depend

Accepted Answer

A) only upon the marginal tax rate on the taxpayer's first $25,000 of income. 
B) only upon the marginal tax rate on the taxpayer's last $10,000 of income. 
C) upon all the marginal tax rates up to the taxpayer's overall level of income. 
D) upon all the marginal tax rates,including those for income levels that exceed the taxpayer's overall level of income. 
A) only upon the marginal tax rate on the taxpayer's first $25,000 of income. 
B) only upon the marginal tax rate on the taxpayer's last $10,000 of income. 
C) upon all the marginal tax rates up to the taxpayer's overall level of income. 
D) upon all the marginal tax rates,including those for income levels that exceed the taxpayer's overall level of income.

Question 7

A transfer payment is a government payment

Accepted Answer

A) to companies that provide goods or services to government agencies. 
B) designed to transfer funds from one government agency to another. 
C) which transfers revenue from the federal government to state government. 
D) not made in exchange for a good or service. 
A) to companies that provide goods or services to government agencies. 
B) designed to transfer funds from one government agency to another. 
C) which transfers revenue from the federal government to state government. 
D) not made in exchange for a good or service.

Question 8

An estate tax is an example of a(n)

Accepted Answer

A) individual income tax. 
B) social insurance tax. 
C) corporate income tax. 
D) None of the above is correct. 
A) individual income tax. 
B) social insurance tax. 
C) corporate income tax. 
D) None of the above is correct.

Question 9

In 2011,approximately what percentage of the U.S.federal government's receipts came from individual income taxes?

Accepted Answer

A) 9% 
B) 15% 
C) 43% 
D) 67% 
A) 9% 
B) 15% 
C) 43% 
D) 67%

Question 10

In 2011 the largest percentage of federal government spending was on

Accepted Answer

A) national defense.The largest source of federal revenues was from corporate income taxes. 
B) health.The largest source of federal revenues was from individual income taxes. 
C) income security.The largest source of federal revenues was from corporate income taxes. 
D) income security.The largest source of federal revenues was from individual income taxes. 
A) national defense.The largest source of federal revenues was from corporate income taxes. 
B) health.The largest source of federal revenues was from individual income taxes. 
C) income security.The largest source of federal revenues was from corporate income taxes. 
D) income security.The largest source of federal revenues was from individual income taxes.

Question 11

The U.S.tax burden is

Accepted Answer

A) about the same as most European countries. 
B) higher than most European countries. 
C) lower than most European countries. 
D) higher than all European countries. 
A) about the same as most European countries. 
B) higher than most European countries. 
C) lower than most European countries. 
D) higher than all European countries.

Question 12

Of the following countries,which country's government collects the least amount of tax revenue as a percentage of that country's total income?

Accepted Answer

A) Japan 
B) United States 
C) Mexico 
D) Denmark 
A) Japan 
B) United States 
C) Mexico 
D) Denmark

Question 13

The government's health plan for the elderly is called

Accepted Answer

A) Medicaid. 
B) Medicare. 
C) Social Security. 
D) food stamps. 
A) Medicaid. 
B) Medicare. 
C) Social Security. 
D) food stamps.

Question 14

Which of the following is an important reason for the projected increase in government spending as a percentage of GDP over the next several decades?

Accepted Answer

A) the increase in life expectancy resulting from advances in healthcare 
B) an increase in the average number of children per family. 
C) the increase in the number of jobs lost each year to foreign countries as a result of outsourcing 
D) the reduction in the number of high-cost medical procedures 
A) the increase in life expectancy resulting from advances in healthcare 
B) an increase in the average number of children per family. 
C) the increase in the number of jobs lost each year to foreign countries as a result of outsourcing 
D) the reduction in the number of high-cost medical procedures

Question 15

Suppose that in 2020 the average citizen's federal tax bill is $11,987,and total federal spending is $12,294 per person.In 2020,the federal government will have

Accepted Answer

A) a budget surplus. 
B) a budget deficit. 
C) horizontal equity. 
D) vertical equity. 
A) a budget surplus. 
B) a budget deficit. 
C) horizontal equity. 
D) vertical equity.

Question 16

Suppose that in 2020 the average citizen's federal tax bill is $11,888 per person,and total federal spending is $13,997 per person.In 2020,the federal government will have

Accepted Answer

A) a per person budget surplus of $2,109. 
B) a per person budget deficit of $2,109. 
C) horizontal equity. 
D) vertical equity. 
A) a per person budget surplus of $2,109. 
B) a per person budget deficit of $2,109. 
C) horizontal equity. 
D) vertical equity.

Question 17

The largest budgetary expense for the federal government in 2011 was

Accepted Answer

A) interest on the national debt. 
B) health. 
C) highways. 
D) income security. 
A) interest on the national debt. 
B) health. 
C) highways. 
D) income security.

Question 18

The three largest categories of spending by the Federal government in order from first to third would be

Accepted Answer

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

Question 19

Most analysts expect the largest federal spending category to continue to grow in importance for many years into the future.What category of spending is this?

Accepted Answer

A) national defense 
B) education 
C) income security 
D) farm support programs 
A) national defense 
B) education 
C) income security 
D) farm support programs

Question 20

In general,the largest sources of revenue for state and local governments come from:

Accepted Answer

A) ​Sales taxes and property taxes 
B) ​Sales taxes and corporate taxes 
C) Property taxes and individual income taxes 
D) Individual income taxes and sales taxes ​ 
A) ​Sales taxes and property taxes 
B) ​Sales taxes and corporate taxes 
C) Property taxes and individual income taxes 
D) Individual income taxes and sales taxes ​

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

Which of the following is an example of an excise tax?

The largest source of revenue for the federal government is the

Which of the following statements is correct?

State and local governments receive the largest portion of their tax revenues from

A budget deficit

The federal taxes owed by a taxpayer depend

A transfer payment is a government payment

An estate tax is an example of a(n)

In 2011,approximately what percentage of the U.S.federal government's receipts came from individual income taxes?

In 2011 the largest percentage of federal government spending was on

The U.S.tax burden is

Of the following countries,which country's government collects the least amount of tax revenue as a percentage of that country's total income?

The government's health plan for the elderly is called

Which of the following is an important reason for the projected increase in government spending as a percentage of GDP over the next several decades?

Suppose that in 2020 the average citizen's federal tax bill is $11,987,and total federal spending is $12,294 per person.In 2020,the federal government will have

Suppose that in 2020 the average citizen's federal tax bill is $11,888 per person,and total federal spending is $13,997 per person.In 2020,the federal government will have

The largest budgetary expense for the federal government in 2011 was

The three largest categories of spending by the Federal government in order from first to third would be

Most analysts expect the largest federal spending category to continue to grow in importance for many years into the future.What category of spending is this?

In general,the largest sources of revenue for state and local governments come from:

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