One way in which financial institutions contribute to the development of a market economy is by

making loans to businesses and consumers

Which statement best describes Mikhail Gorbachev as a leader of the Soviet Union?

His openness to a new political system, to the breakdown of the SovietUnion

Why would the US government want to incentivize competition between businesses?

benefits consumers because it leads to better and more innovative products., benefits consumers because it leads to cheaper products.

Which effect results from Congress lowering tax rates?

People spend more so the economy grows.

What role does the law of supply and demand play in a command economy? The law of supply and demand........

doesnt apply because in a command economy, the gov't controls the market.

The head of which of the following entities is part of the president’s cabinet?

The Department of Transportation

Why might a nation export goods to other countries regardless of the exchange rates?

because it created or grew more goods than its people can use

Which statement about the US mixed-market system is also true?

Government involvement in economic decisions is limited.

The demand for milk in Country X is 18 billion gallons, & the supply is 10 billion gallons. How to reach equillibrium??

supply of milk must increase by 8 billion gallons.

Which example describes a liberal foreign policy?

A country joins a partnership to expand international trade.

Why is the standard of living in the US generally higher than the standards of living in other parts of the world?

The US economy can meet the basic needs of most of its citizens.

Which is an example of a social policy?

federal standards regarding overtime pay

Which statement about the US mixed-market system is true?

Consumers and producers are free to buy and sell as they wish.

In 2008, 1 euro = $1.55. In 2019, 1 euro = $1.12. What can you infer about the value of the euro in international trade?

In 2019, European nations could purchase fewer goods than they could in '08

Which effect results from The Federal Reserve lowering interest rates?

People find it easier to borrow and spend.

Joining _______________ after World War II was part of the US foreign policy of containment .

The North Atlantic Treaty Organization

Which example of government regulation of financial institutions would most benefit consumers?

The government passes a rule to eliminate deceptive practices at banks.

Which effect results from Congress raising taxes?

People spend less so the economy slows.

Which effect results from The Federal Reserve raising interest rates?

People find it harder to borrow and spend.

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Public Policy

25 termsStudBud Administration2 plays

Unit 5 Civics

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Questions 25

Answers

1
This type of bank manages accounts and credit lines for both individuals and businesses?
credit unions
savings and loan associations
commercial banks
savings banks
2
One way in which financial institutions contribute to the development of a market economy is by
imposing tariffs on consumers' purchases
making loans to businesses and consumers
charging interest on the loans they approve
setting tax rates on retirement accounts & investments
3
Which statement best describes Mikhail Gorbachev as a leader of the Soviet Union?
his military abilities resulted in many countries abandoning Communism.
he made positive changes to economic policies in the Soviet Union.
His openness to a new political system, to the breakdown of the SovietUnion
His discussions with President Reagan convinced him to reject Communism.
4
A nation with many pineapple plantations exports fresh pineapples, canned pineapples, and pineapple products.
diversified economy
specialization
communism
single-resource economy
5
Why would the US government want to incentivize competition between businesses?
benefits the government because it leads to higher sales tax revenue.
benefits the government because it leads to lower unemployment payments.
benefits consumers because it leads to better and more innovative products.
benefits consumers because it leads to cheaper products.
6
A nation rich in precious gemstones just exports diamondsto be made into necklaces, rings, and other jewelry.
diversified economy
single-resource economy
specialization
communism
7
Which effect results from Congress lowering tax rates?
People find it harder to borrow and spend.
People spend more so the economy grows.
People spend less so the economy slows.
People find it easier to borrow and spend.
8
What role does the law of supply and demand play in a command economy? The law of supply and demand........
doesnt apply because in a command economy, the gov't controls the market.
functions the same way as other economies, but the gov't sets the prices.
functions in reverse because a command economy is the cool.
applies to a command economy as much as it does to other economies.
9
The head of which of the following entities is part of the president’s cabinet?
The Department of Transportation
The Federal Election Commission
The Food and Drug Administration
The United States Postal Service
10
The picture depicts a service provided through a ______________ that sets industry standards.
distributive policy
constituent policy
redistributive policy
regulatory policy
11
A nation with several climate zones exports almonds,cranberries, corn, wheat, and peaches.
specialization
single-resource economy
diversified economy
communism
12
Why might a nation export goods to other countries regardless of the exchange rates?
because it created or grew more goods than its people can use
because it cannot create or grow as many goods as its people need
because it is trying to increase its trade deficit
because it is trying to eliminate its balance of trade
13
Which statement about the US mixed-market system is also true?
Government involvement in economic decisions is limited.
The market waits for government approval of production decisions.
The government intervenes only to avoid a financial crisis.
Government involvement in economic decisions is limited.
14
The demand for milk in Country X is 18 billion gallons, & the supply is 10 billion gallons. How to reach equillibrium??
supply of milk must increase by 28 billion gallons.
supply of milk must decrease by 28 billion gallons.
supply of milk must decrease by 8 billion gallons.
supply of milk must increase by 8 billion gallons.
15
Which example describes a liberal foreign policy?
A country joins a partnership to expand international trade.
A country brings its plan for world peace to other countries.
A country warns other countries that it is developing nuclear weapons.
A country uses its military power to intimidate potential enemies.
16
Why is the standard of living in the US generally higher than the standards of living in other parts of the world?
The United States is strategically located between two major oceans.
Ten large US cities have a population of more than one million
has a large population that is made up of people from many backgrounds
The US economy can meet the basic needs of most of its citizens.
17
Which is an example of a social policy?
negotiating an international peace treaty
increasing the federal interest rate
federal standards regarding overtime pay
deploying armed forces to another country
18
Which statement about the US mixed-market system is true?
The market waits for government approval of production decisions.
The government intervenes only to avoid a financial crisis.
The government controls production.
Consumers and producers are free to buy and sell as they wish.
19
Saddam Hussein was the president of Iraq from 1979 to 2003. He was responsible for which event?the War on Terror
the Gulf War
the War on Terror
the civil war in Yemen
the civil war in Somalia
20
In 2008, 1 euro = $1.55. In 2019, 1 euro = $1.12. What can you infer about the value of the euro in international trade?
In 2019, European nations could purchase fewer goods than they could in '08
In 2019, the US had to lower its prices on goods sold to European nations
In 2019, European nations could purchase more than they could in 2008
In 2019, the US had to raise its prices on goods sold to European nations.
21
Which effect results from The Federal Reserve lowering interest rates?
People find it easier to borrow and spend.
People find it harder to borrow and spend.
People spend more so the economy grows.
People spend less so the economy slows.
22
Joining _______________ after World War II was part of the US foreign policy of containment .
The World Trade Organization
The League of Nations
The Marshall Plan
The North Atlantic Treaty Organization
23
Which example of government regulation of financial institutions would most benefit consumers?
Congress & the president agree on a budget that lowers the national debt.
A congressional commission hears a testimony regarding monetary policy.
The governing board of the Fed increases the budget of the Reserve Banks.
The government passes a rule to eliminate deceptive practices at banks.
24
Which effect results from Congress raising taxes?
People spend less so the economy slows.
People find it harder to borrow and spend.
People spend more so the economy grows.
People find it easier to borrow and spend.
25
Which effect results from The Federal Reserve raising interest rates?
People spend more so the economy grows.
People find it harder to borrow and spend.
People find it easier to borrow and spend.
People spend less so the economy slows.

Public Policy Flashcards | StudBud