AnswersSHS Lifetime Fitness - 2021Unit Test

Unit Test — Unit test Answers

0 verified answers
1
Free Preview

A graph shows the U S Government and Expenditures from 1980 to 2010. The money spent and money received generally follow the same trend, but around 2008, the amount of money spent increased and money received decreased.

Question illustration
A
Federal law requires the budget to be balanced.
B
Politicians do a good job in balancing the budget.
C
In most years, the federal budget shows a surplus.
D
Lines seldom overlap showing a mostly unbalanced budget.
2
Free Preview

A diagram shows that taxes go into the government, which then go into spending.

Question illustration
A
Government Spending
B
The National Economy
C
The Federal Debt
D
Fiscal Policy
3

Which programs or projects are most likely funded by taxes paid by the citizens of the United States? Select three options.constructing a highwaypublic school fundingdeveloping a vacation resortbuilding of private homesmaintaining state parks

A
constructing a highway
B
public school funding
C
developing a vacation resort
D
building of private homes
E
maintaining state parks
4

Which best describes what a central bank uses monetary policy to do?

A
ensure that the government has a balanced budget
B
influence financial institutions globally
C
ensure that the government is sufficiently funded
D
steer the economy away from recession and toward growth
5

What is a potential negative effect of an expansionary policy?

A
decreased borrowing
B
increased interest rates
C
increased inflation
D
decreased available credit
6

Which statement best describes how the Fed responds to recessions?

A
It sells more securities.
B
It charges banks more interest.
C
It increases reserve requirements.
D
It increases the money supply.
7

What is the main goal in creating the federal budget?

A
managing businesses and increasing spending on all programs
B
deciding how to manage the government’s tax revenue and expenditures
C
finding a way to allow the economy to run on its own
D
finding a way to slow down rapid economic growth
8

A government's monetary policy is its plan to control

A
taxation and spending.
B
prices.
C
workers' wages.
D
the money supply.
9

How are progressive taxes and regressive taxes similar?

A
Both charge high-income individuals more.
B
Both are considered flat taxes.
C
Both generate revenue for public services.
D
Both are types of indirect taxes.
10

A graph titled Total U S Government Spending as Percentage of G D P from 1990-2012 has year on the x-axis and percentage of G D P on the y-axis, from 15 to 30 percent in increments of 5. The percentage of G D P is lowest at 18 percent in 2001 and highest at 25 percent in 2009.

Question illustration
A
half of GDP.
B
100 percent of GDP.
C
one quarter of GDP.
D
one tenth of GDP.
11

The diagram shows a challenge for government policy-makers.

Question illustration
A
A country’s needs are more important than its ideals.
B
The most important aspect of economic policy is citizens' safety.
C
Economic policy must reach a balance between needs and ideals.
D
Private property is somewhat less important than fairness.
12

Which best describes a central bank's primary goals?

A
limiting inflation and reducing unemployment
B
reducing unemployment and maintaining cash flow
C
controlling stagflation and reducing unemployment
D
managing credit and ensuring the money supply's liquidity
13

If the domino effect occurs as a result of changes in the money supply, what will most likely happen as an immediate result of interest rates being increased?

A
Borrowing will decrease.
B
Investing will decrease.
C
Inflation will increase.
D
Liquidity will increase.
14

The graph shows the number of employed workers in the United States in nonfarm jobs from 2008 to 2013.

Question illustration
A
reducing the size of its armed forces
B
laying off unnecessary workers
C
decrease taxes to increase consumers' money supply
D
encouraging people to travel overseas
15

Rules ensuring that businesses offer safe products to consumers are part of a nation's

A
trade policy.
B
monetary policy.
C
regulatory policy.
D
fiscal policy.
16

The graph shows the number of employed workers in the United States in nonfarm jobs from 2008 to 2013.

Question illustration
A
remained consistent over time.
B
started going down in 2008.
C
went up every year since 2008.
D
started going down in 2010.
17

Which best describes a central bank's primary role?

A
controlling inflation
B
increasing credit
C
printing money
D
creating monetary policy
18

Governments collect taxes to ensure that

A
there is sufficient money to fund private businesses.
B
citizens contribute to meeting society's needs.
C
politicians get paid in a timely manner.
D
a government program exists for every need that arises.
19

Country Q has experienced a rapid increase in its unemployment rate and a sharp decline in its GDP.What might policymakers do in the face of these economic indicators?

A
encourage a decrease in purchasing until employment figures increase
B
try to trade with other nations to increase production and create new jobs
C
increase taxes so the government has more money to spend
D
implement controls on wages, forcing employers to pay higher wages
20

The diagram shows the three-step process by which economic policy is created.

Question illustration
A
Discuss a plan.
B
Interview an interest group.
C
Identify a problem.
D
Gather data.

Did you find these answers helpful?

More from this Course

Quiz
25 verified answers

Unit Test

Quiz
10 verified answers

Understanding College Savings

Quiz
15 verified answers

Unit Test