PSCI 110 Final Study exam with complete
solution
Laws that structure the conditions under which you can sell your property are called -
ANSWER-laws of exchange
Which term describes a good that, after it is provided, may be enjoyed by anyone and
may not be denied to anyone? - ANSWER-public goods
Universal compulsory education is an example of government efforts to - ANSWER-
create a labor force
Which term describes a company that provides all the goods and services for a
particular market such that competition is nonexistent? - ANSWER-monopoly
The most fundamental way that government affects investment is by - ANSWER-
promoting business, investor, and consumer confidence.
National tariff policies promote domestic markets by - ANSWER-restricting imported
goods.
The government's use of taxing and spending powers to manipulate the economy is
called - ANSWER-fiscal policy
The income tax in the United States today is a _________ tax - ANSWER-progressive
A sales tax is deemed ___________ because everybody pays at the same rate, but the
more you make, the lower the percentage of your income that goes to buying items and
paying sales tax. - ANSWER-regressive
, The amount by which government spending exceeds revenues in a fiscal year is called
the - ANSWER-budget deficit.
As a percentage of GDP, total government receipts in the United States are
______________ those of most other industrialized countries. - ANSWER-smaller than
Fiscal policy is made by - ANSWER-the President and Congress.
According to the text, state and local governments' revenues depend primarily on -
ANSWER-sales and property taxes.
The federal government raises most of its revenue from ______________. - ANSWER-
individual income taxes
Federal taxes on the sale of alcohol, tobacco, and gasoline are examples of
______________ taxes. - ANSWER-excise
Which of the following statements is true regarding capital gains? - ANSWER-Capital
gains are taxed at a lower rate than ordinary income.
In 2010, defense expenditures were approximately ______________ of all federal
expenditures. - ANSWER-20 percent
According to the text, the Federal Reserve is most responsive and accountable to -
ANSWER-bankers
The authority of the federal government to issue economic regulations stems primarily
from what the Constitution says about - ANSWER-interstate commerce
The power of the federal government to issue economic regulations was largely
dormant until approximately - ANSWER-1890.
The program that offers health insurance to the elderly is called ______________. -
ANSWER-medicare
solution
Laws that structure the conditions under which you can sell your property are called -
ANSWER-laws of exchange
Which term describes a good that, after it is provided, may be enjoyed by anyone and
may not be denied to anyone? - ANSWER-public goods
Universal compulsory education is an example of government efforts to - ANSWER-
create a labor force
Which term describes a company that provides all the goods and services for a
particular market such that competition is nonexistent? - ANSWER-monopoly
The most fundamental way that government affects investment is by - ANSWER-
promoting business, investor, and consumer confidence.
National tariff policies promote domestic markets by - ANSWER-restricting imported
goods.
The government's use of taxing and spending powers to manipulate the economy is
called - ANSWER-fiscal policy
The income tax in the United States today is a _________ tax - ANSWER-progressive
A sales tax is deemed ___________ because everybody pays at the same rate, but the
more you make, the lower the percentage of your income that goes to buying items and
paying sales tax. - ANSWER-regressive
, The amount by which government spending exceeds revenues in a fiscal year is called
the - ANSWER-budget deficit.
As a percentage of GDP, total government receipts in the United States are
______________ those of most other industrialized countries. - ANSWER-smaller than
Fiscal policy is made by - ANSWER-the President and Congress.
According to the text, state and local governments' revenues depend primarily on -
ANSWER-sales and property taxes.
The federal government raises most of its revenue from ______________. - ANSWER-
individual income taxes
Federal taxes on the sale of alcohol, tobacco, and gasoline are examples of
______________ taxes. - ANSWER-excise
Which of the following statements is true regarding capital gains? - ANSWER-Capital
gains are taxed at a lower rate than ordinary income.
In 2010, defense expenditures were approximately ______________ of all federal
expenditures. - ANSWER-20 percent
According to the text, the Federal Reserve is most responsive and accountable to -
ANSWER-bankers
The authority of the federal government to issue economic regulations stems primarily
from what the Constitution says about - ANSWER-interstate commerce
The power of the federal government to issue economic regulations was largely
dormant until approximately - ANSWER-1890.
The program that offers health insurance to the elderly is called ______________. -
ANSWER-medicare
