CSET Social Science Subtest 3 Questions
and Correct Answers the Latest Update
and Recommended Version
Evolutionary Theory
✓ The state evolved from family. The head of the family is the government.
Force Theory
✓ Government was created when all the people of the area were bought under the authority
of one (by force).
Divine Right Theory
✓ The state was created by god. The divine has chosen people to rule.
Social Contract Theory: Thomas Hobbs
✓ In a natural state, no government exists. People surrender the power to the state to
maintain order. People do not have the right to break the agreement.
Social Contract Theory: John Locke
✓ People are naturally endowed with the right to life, liberty and property. They willingly
contract power to government to protect these rights. People have the right to break this
agreement.
John Locke
✓ Two treaties of Government: people need government to maintain social order and cannot
live in groups without conflict.
Abraham Lincoln
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✓ Government should do for the community whatever they need to promote general welfare
- individuals could or would not do on their own.
Governments purpose
✓ Maintain social order, provide public services, provide national security, and control the
economic system.
Economic systems do the following...
✓ 1. What and how much should be produced, 2. How goods and services should be
produced. 3. Who gets the goods and services that are produced.
Capitalism
✓ Freedom of choice and individual incentive.
✓ 1. Private ownership and control of property and economic resources.
✓ 2. Free enterprise
✓ 3. Competition among businesses
✓ 4. Freedom of choice
✓ 5. The possibility of profits
Adam Smith (1776)
✓ Buyers and sellers were free to make unlimited economic decisions in the marketplace.
Free enterprise: decisions made by buyers and sellers
Mixed Market Economies
✓ Free enterprise but supported by government decisions in the marketplace - the structure
that the U.S. has today.
Socialism
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✓ Government owns the basic means of production, decides how to use resources, distributes
products and wages, provides social services.
✓ 1. Distribution of wealth and economic opportunity equally among people
✓ 2. Society's control, through its government, of all major decisions about production
✓ 3. Public ownership of most land and factories
Democratic Socialism
✓ Works within the democratic system to improve economic conditions.
Communism
✓ No social classes, all property is held in common, and government is not necessary.
Karl Marx (1818 - 1883)
✓ Advocated violent revolution. Bourgeoisie (production) and workers (proletariat) would
eventually collapse because smaller groups of capitalists would control all means of
production.
Command Economy
✓ Decisions of the economy are made by upper levels of government and handed down to
managers.
Liberal
✓ Government should promote health, education and justice. Curtail economic freedom to
increase equality. Socially - no restrictions to most individual freedoms.
Conservative
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