Unit Test — Unit test Answers

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A goal of financial regulatory agencies is to

A
prevent monopolies.
B
enforce workplace safety.
C
protect the environment.
D
enforce food safety.
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A purpose of government regulation in a mixed-market economy is to protect

A
property rights.
B
corporate rights.
C
monetary rights.
D
states' rights.
83

A flow chart shows an aspect of fiscal policy. Money goes from the government, to household, and to firms.

Question illustration
A
the way in which a government creates a budget
B
a budget that is severely unbalanced
C
government spending to strengthen the economy
D
ways in which governments spend money
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producersconsumersgovernmentprices

A
producers
B
consumers
C
government
D
prices
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Which are duties of OSHA? Check all that apply.investigating worker complaintsinspecting imported foodinspecting businesseslabeling productsprotecting the environment

i
investigating worker complaints
i
inspecting imported food
i
inspecting businesses
l
labeling products
p
protecting the environment
88

What are the goals when a government uses expansionary monetary policy? Check all that apply.increasing its money supply to boost the economydecreasing its money supply to slow the economyincreasing its money supply to speed business expansiondecreasing its money supply to curb business expansiondecreasing its interest rates to increase investment spending

A
increasing its money supply to boost the economy
B
decreasing its money supply to slow the economy
C
increasing its money supply to speed business expansion
D
decreasing its money supply to curb business expansion
E
decreasing its interest rates to increase investment spending
89

What is a main reason why entrepreneurs experience daily stress?

A
They have considerable responsibility.
B
They need to spend time training employees.
C
They need to have sufficient income to pay loans.
D
They have to contribute both to the market and society.
91

Why does the Fed pay interest to banks?

A
It is interest on money held in reserve.
B
It is interest on credit available to the Fed.
C
It is interest on loans taken by the Fed.
D
It is interest on government investments.
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When a government creates a budget, it is seeking a way to

s
spend as much revenue as possible.
c
cut spending to a bare minimum.
r
return as much money to taxpayers as possible.
a
allocate money to programs and projects.

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