Unit 4 Web Site Exam Review Questions

Multiple-Choice Questions1. The Patient Protection and Affordable Care Act primarily aims to __________.

a. establish a government-run health insurance program to cover everyone who lacks health insuranceb. reduce the number of uninsured individualsc. increase the number of doctors who specialize rather than enter general practiced. protect patients from Medicare fraudPage Reference: 451 – 452

2. The American Recovery and Reinvestment Act included provisions to __________.a. eliminate jobs in the financial sectorb. close underperforming schoolsc. provide additional education funding to the statesd. refinance the national debt by cutting the salaries and benefits of federal workersPage Reference: 471

3. Who was John Dewey?a. a reformer who advocated for energy policy and pushed the White House to reduce its carbon footprintb. a reformer who advocated for lower taxes and higher spending to stimulate the economyc. a philanthropist who established a system for cataloging insectsd. an education reformer who advocated for experiential educationPage Reference: 452

4. Medicare is aimed at what group of people?a. children and college studentsb. business owners and their employeesc. seniors and the disabledd. the poor and the infirmPage Reference: 462

5. What decade marked a clear change in the federal government’s role in domestic policy making with the creation of the modern welfare state and the first entitlement program?a. the 1910sb. the 1930sc. the 1950sd. the 1970sPage Reference: 451

6. Which stage in the policy-making process is government recognition that a problem is worthy of consideration for governmental action?a. agenda settingb. agenda adoptionc. policy formationd. policy implementationPage Reference: 456

7. Approximately what percentage of Americans believes that the Patient Protection and Affordable Care Act will make things better for people who do not already have health insurance?a. 5 percentb. 10 percentc. 30 percentd. 60 percentPage Reference: 466

8. In which of the following areas is health care spending in the United States greatest?a. hospital careb. physician and clinical servicesc. prescription drugsd. nursing home carePage Reference: 464

9. The Framers of the Constitution created a decentralized policy-making process with powers shared by Congress, the president, the courts, and the __________.a. political partiesb. interest groupsc. statesd. business interestsPage Reference: 450

10. Which president helped to create the modern welfare state in the United States?a. Dwight Eisenhowerb. Franklin Rooseveltc. Jimmy Carterd. Ronald ReaganPage Reference: 451

11. Which of the following policies was recently enacted in order to help ensure that students are not saddled with too much student loan debt?a. mandatory tuition waivers for all students maintaining a 3.8 GPA or betterb. requirements that all colleges and universities that accept federal funds must create programs that allow undergraduate students to complete their degree in three yearsc. guaranteed employment for the first three years after graduationd. a cap on repayments at 10 percent of income with the entire balance forgiven after 20 yearsPage Reference: 472

12. Which of the following pieces of legislation is designed to ensure that most people have health insurance?a. the Patient Protection and Affordable Care Actb. the Social Security Actc. the Health Care and Education Reconciliation Actd. the American Recovery and Reinvestment ActPage Reference: 462

13. Which of the following categories has the lowest level of health care expenditures?a. hospital careb. physician/clinical servicesc. home health cared. prescription drugs

Page Reference: 46414. Which decade is referred to as the “environmental decade”?

a. 1960sb. 1970sc. 1980sd. 1990sPage Reference: 454

15. In 2002, which U.S. state was the first to pass legislation to reduce greenhouse gas emissions?a. Alabamab. South Dakotac. New Mexicod. CaliforniaPage Reference: 476

16. Which of these was a consequence of the Race to the Top initiative?a. States have begun to adopt performance-based teacher evaluations.b. The unemployment rate has steadily declined.c. The federal government has left the financial markets to regulate themselves.d. Several new banks have emerged.Page Reference: 471

17. The Supreme Court’s landmark decision in Brown v. Board of Education (1954) ruled that separate educational facilities for black and white students were __________.a. inherently unequalb. acceptable if funding was equitablec. equal under the lawd. constitutionally protectedPage Reference: 452

18. Which of these was part of President Franklin Roosevelt’s New Deal?a. The federal government took a laissez-faire approach when dealing with economic matters.b. The federal government created Social Security and Aid to Families with Dependent Children.c. The states assumed new responsibilities for the management of national economic matters.d. The federal government devolved responsibility for solving the economic crisis to the states.Page Reference: 451

19. What political movement led to reforms in child labor laws in the United States?a. Capitalism b. Progressivismc. Socialismd. CreationismPage Reference: 451

20. Which of the following provides one explanation for why Medicare costs have risen in recent years?a. People live longer today than they did in the past.b. People rely on their own private insurance to supplement Medicare.c. Most people on Medicare also receive Medicaid benefits.d. Doctors charge less for many services than they did in the past.Page Reference: 464

21. The 1983 A Nation at Risk report showed that U.S. students typically performed __________.a. better on both math and science tests than students in other countriesb. worse on both math and science tests than students in many other countriesc. better on math tests but worse on science tests compared to students in other countriesd. better on science tests but worse on math tests compared to students in other countriesPage Reference: 452

22. All Americans who enroll in Social Security when they retire at age sixty-five are also enrolled in __________.a. Medicare Part Ab. Medicare Part Bc. Medicare Part Cd. Medicare Part DPage Reference: 462 – 463

23. What is the function of Medicaid?a. prescription drug plan for Medicare b. state funding of federal hospitalsc. subsidized medical care for the poord. a long-term care supplement for MedicarePage Reference: 463

24. Which program is one of the first entitlement programs created under the New Deal?a. No Child Left Behindb. Social Securityc. Medicaidd. MedicarePage Reference: 451

25. Which of the following statements about Social Security is the most accurate?a. Social Security will eventually be replaced by a private system.b. Social Security qualification triggers Medicaid participation.c. Social Security is expected to be financially stable for the next 100 years.d. Social Security qualification triggers Medicare Part A.Page Reference: 463

26. The publication of Rachel Carson’s Silent Spring focused the nation’s attention on which of the following?a. noise pollution from airports near populated areasb. environmental damage from toxic and hazardous wastesc. water shortagesd. sinkholesPage Reference: 454

27. Which of the following is true of gas prices and gas taxes in the United States in comparison to Europe?a. Both gas prices and gas taxes are higher in the United States than in Europe.b. Both gas prices and gas taxes are lower in the United States than in Europe.c. Gas prices are higher in the United States than in Europe, but gas taxes are lower.d. Gas taxes are higher in the United States than in Europe, but gas prices are lower.Page Reference: 475

28. The United States consumes __________ percent of the world’s oil, while only containing __________ percent of the world’s oil reserves.a. 15; 5b. 18; 20c. 20; 2d. 50; 20Page Reference: 472

29. President Theodore Roosevelt embraced which policy area?a. conservationb. educationc. military reformd. civil rightsPage Reference: 453

30. Which was used as evidence of the need for the Patient Protection and Affordable Care Act?a. Private insurance companies are adequate for providing health care coverage to most Americans.b. Uninsured Americans have access to health care because hospitals are required to treat patients with life-threatening conditions.c. Health care costs have risen substantially over the past few decades.d. The government generally operates more efficiently than does the private sector.Page Reference: 451

31. Entitlement programs such as Social Security and Aid to Families with Dependent Children led to which of the following over time?a. expansion of the federal role in domestic policy b. help to ensure equality in public school fundingc. help to provide income to low-earning householdsd. expansion of financial aid to poor college studentsPage Reference: 451

32. What is the largest source of electrical power in the United States?a. coalb. oilc. natural gasd. nuclear powerPage Reference: 474

33. Which of the following demonstrates how policy making is decentralized in the United States?a. The United States has a unitary form of government.b. Congressional power often trumps state power.c. The states have authority over policy making in areas such as education.d. The federal government is responsible for Medicare and Medicaid.Page Reference: 450

34. Of the following, which contributes the most to climate change?a. hydroelectric powerb. coal and oilc. natural gasd. nuclear powerPage Reference: 455

35. Which of the following explains why some people have suggested reducing our use of coal and oil?

a. Oil and coal are targets for terrorists.b. Oil and coal are less efficient than solar power.c. Oil and coal create greenhouse gases.d. Oil and coal extraction is costly.Page Reference: 455

36. Which of the following established emissions standards for vehicles?a. renewable portfolio standardsb. Clean Air Actc. National Environmental Policy Act d. Race to the TopPage Reference: 474

37. Which of the following is an example of federal involvement in K–12 education?a. Providing diversity awareness training for teachers.b. Funding pro-education candidates at the state level.c. Funding school renovation in economically disadvantaged areas.d. Providing monetary incentives for state compliance with standardized goals.Page Reference: 468

38. Why was national health insurance not adopted by the United States when it was first considered in the 1930s?a. liberals’ desire for insurance to be provided by private companiesb. strong opposition by the American Medical Associationc. the fact that nearly all Americans already had health insuranced. the downward trajectory of predicted health care costsPage Reference: 451

39. Which of the following took on a stronger policy-making role in the 1930s?a. Congressb. the states c. the Supreme Courtd. the president Page Reference: 451

40. Title IX of the Educational Amendments Acts of 1972 bars schools that receive federal funds from __________.a. registering students to vote using taxpayer fundsb. offering different sports for men and womenc. discriminating on the basis of sex in admissions, student financial aid, or athleticsd. having men coach women’s athletics or having women coach men’s athleticsPage Reference: 471

41. Which of the following is a criticism of No Child Left Behind (NCLB)?a. NCLB mandates changes but does not sufficiently fund these changes.b. The federal government spends more on public education than do the states, yet has little control over the implementation of NCLB.c. The schools that get higher test scores should also receive more money.d. Local school districts are exempt from the mandates of NCLB.Page Reference: 471

42. Approximately what percentage of funding for K–12 education comes from the federal government?a. 3 percentb. 10 percentc. 45 percentd. 85 percent

Page Reference: 4681. Inflation is best understood as the rate at which __________.

a. gross domestic product expandsb. prices for goods and services increasec. the federal government increases taxes to raise revenued. the Federal Reserve Board expands the money supplyPage Reference: 491

2. What do economists use gross domestic product to measure?a. the rate of government spending in the economyb. the rate of tariffs applied to goods imported into the United Statesc. the total value added by government expenditures in the economyd. the total value of goods and services produced in an areaPage Reference: 495

3. Laissez-faire economics holds which of the following to be true?a. The government should raise interest rates during a recession.b. The government should not take an active role in the economy.c. The government should do everything possible to reduce unemployment.d. The government should lower interest rates during a recession.Page Reference: 484

4. Which of the following is true with respect to Keynesian economic policy?a. Keynesian economic policy relies on government taxes and adjustments to the money supply to control inflation and unemployment.b. Keynesian economic policy relies on tax cuts and expenditure increases by government to control inflation and unemployment.c. Keynesian economic policy uses the money supply to control inflation and unemployment.d. Keynesian economic policy relies on the generosity of private charities to address the worst effects of economic downturns.Page Reference: 490

5. Which of the following is true about Social Security?a. It provides benefits to retirees. b. It is a means-tested program.c. It is only available to the very wealthy.d. It is supported by property taxes.Page Reference: 502

6. What is the source for the money in the Social Security Trust Fund?a. sales taxes on luxury goods and servicesb. taxes on wages paid by the employer and employeec. property taxesd. estate taxesPage Reference: 502

7. What is a government program called that provides benefits to all citizens who meet eligibility requirements?a. a basic programb. an entitlement programc. an envelopment programd. a recessionary programPage Reference: 501

8. The total market value of all goods and services produced in an area during a year is termed which of the following?a. national income quotient

b. gross domestic productc. maximum national productd. minimum domestic productPage Reference: 495

9. Which of the following constitutes the largest portion of the federal budget?a. Medicare and healthb. food and agriculturec. militaryd. Social Security, unemployment, and laborPage Reference: 491

10. Unemployment insurance is what type of federal program?a. non-means-testedb. means-testedc. monetary policyd. fiscal policyPage Reference: 500

11. What is a primary tool that monetary policy uses to affect the overall economy?a. tax ratesb. foreign monetary investmentc. government spendingd. the discount ratePage Reference: 498

12. Which of the following entities is responsible for setting the discount rate which then influences interest rates in the United States?a. Congressb. the Office of Management and Budget c. the Executive Office of the Presidentd. the Federal Reserve BoardPage Reference: 498

13. Which of the following terms describes U.S. economic policy during much of the nineteenth century?a. fiscalismb. Keynesianismc. laissez-faired. monetarismPage Reference: 484

14. What are the two main purposes of monetary policy?a. to lend money to consumers and borrow money from banksb. to control inflation and limit unemploymentc. to help developing countries and American business interestsd. to equalize income disparity among citizens and lower the cost of goods and servicesPage Reference: 497

15. The main goal of fiscal policy is __________.a. to ensure that money is available to state governments for capital projectsb. to pay down the federal debtc. to increase exports into the United Statesd. to stimulate or slow down economic growthPage Reference: 490

16. What is a means-tested program?a. a program that extends benefits based on your age at retirement

b. a program that provides benefits based on demonstrated needc. a program that extends benefits mostly to those who passed a skills-based testd. a program that provides benefits based on lifetime contributionsPage Reference: 501

17. What is deregulation in the American political economy?a. an increase in the barriers to economic productivityb. the elimination of business and environmental regulationsc. the removal of barriers to productivity and growthd. the removal of barriers to the collection of taxesPage Reference: 488 – 489

18. Regulatory legislation at the end of the nineteenth century primarily dealt with __________.a. trustsb. the environmentc. labor unionsd. technologyPage Reference: 485

19. The primary purpose of the Troubled Assets Relief Program (TARP) was to __________.a. bail out the auto industryb. bail out the banking sectorc. reduce the annual budget deficitd. respond to rising unemploymentPage Reference: 505

20. The annual shortfall when federal revenues are less than expenditures is known as which of the following?a. the balance of paymentsb. the budget deficitc. the national debtd. the trade deficitPage Reference: 490

21. If the Federal Reserve wanted to slow the rate of economic growth, it would most likely __________.a. lower the discount rate b. increase the discount ratec. encourage the president to lower taxes d. increase the unemployment ratePage Reference: 498

22. In general, a recession does which of these?a. contributes to higher unemployment ratesb. lasts at least a yearc. leads to a decrease in the national debtd. reduces the cost of goods and servicesPage Reference: 505

23. Which of the following is true regarding mandatory government spending policies?a. They are designed to increase the money supply to improve economic growth.b. They are designed to help states avoid having a budget surplus.c. They create a serious ongoing financial burden on the federal government.d. They reduce the overall cost of doing business overseas.Page Reference: 501

24. In a(n) __________ state, the government takes an active role in guiding and regulating the private economy.a. capitalistb. democraticc. interventionistd. laissez-fairePage Reference: 487

25. U.S. monetary policy involves which of the following?a. import and export policiesb. the discount rate and the money supplyc. supply-side economicsd. the national debt and the annual deficitPage Reference: 497 – 499

26. If the Federal Reserve Board needed to curb inflation, it would most likely __________.a. raise taxes b. lower taxesc. increase government spendingd. raise the discount ratePage Reference: 498

27. Lowering the discount rate would have which of the following effects?a. It would decrease the overall rate of taxation. b. It would discourage banks from increasing their borrowing from the Federal Reserve.c. It would encourage banks to borrow more and to extend more loans at lower rates.d. It would increase the amount of federal bonds sold to foreign countries.Page Reference: 498

28. An entitlement program provides benefits to __________.a. all citizens of the United Statesb. citizens who have made payroll tax contributionsc. citizens who meet eligibility criteriad. only the very poorPage Reference: 501

29. Which of the following provides the greatest source of revenue for the federal government?a. individual income taxesb. corporate income taxesc. payroll taxesd. excise taxesPage Reference: 491

30. In an economic slowdown, Keynesian economic policy would advocate __________.a. increasing inflationb. increasing government spendingc. decreasing the money supplyd. increasing the unemployment ratePage Reference: 490

31. Upon taking office in 2009, which of the following did President Obama advocate to deal with the economic crisis?a. increasing the interest ratesb. increasing government spending

c. lowering taxesd. reducing taxesPage Reference: 505, 508

32. Which of these is most consistent with the philosophy of Keynesianism?a. increasing the discount rateb. increasing the debt owned by foreign countriesc. increasing the money supplyd. the 2009 American Recovery and Reinvestment ActPage Reference: 494

33. Which of the following is accurate with regard to the national debt in the United States?a. The national debt as a percentage of GDP is about the same in the United States as it is in Japan.b. The national debt as a percentage of GDP is lower in the United States than it is in any other Western democracy. c. The national debt as a percentage of GDP is higher in the United States than it is in any other Western democracy.d. The national debt as a percentage of GDP is about the same as the GDP.Page Reference: 492

34. If you support laissez-faire economic policies, you would generally favor __________.a. a reduction in the amount of economic regulation by the governmentb. an increase in the level of taxes assessed by state governmentsc. an increase in the collective bargaining rights for labor unionsd. an increase in the tariffs assessed on goods imported into the United StatesPage Reference: 484

35. Which of the following is an example of monetary policy?a. decreasing federal spendingb. lowering state property and sales taxesc. increasing taxes on wealthy Americansd. lowering the discount ratePage Reference: 496

36. If the Federal Reserve wanted to increase lending by banks, what could it do to reserve requirements?a. Lower the discount rate on bank reserve requirements.b. Lower the rate of taxation on bank reserve requirements.c. Lower the reserve requirements for banks.d. Increase the discount rate on bank reserve requirements.Page Reference: 498

37. Which of these statements best describes the influence of adjustments to the discount rate made by the Federal Reserve?a. They always lead to lower rates of marginal taxes.b. They can lead to higher unemployment in years of budget deficits.c. They can spur economic growth by increasing the cost of money for business.d. They can spur economic growth by increasing the available money supply.Page Reference: 498

38. Which of the following is a major reason for government regulation of the economy?a. to increase the overall level of taxes paid by producers in the economyb. to increase the general level of educational attainment c. to eliminate the costs of doing business for corporations

d. to promote economic developmentPage Reference: 484

39. Which of the following is a concern about the viability of Social Security?a. The rate of Social Security payroll taxes will continue to decrease.b. The number of current retirees contributing to the fund will continue to decrease.c. The working poor will not have access to Social Security after 2030.d. There will be too few workers contributing to support the increasing number of retirees.Page Reference: 502

40. Which of the following was a major contributor to the economic crisis that began in 2008?a. the collapse of the subprime mortgage industryb. massive cuts in the federal budget deficitc. increased wage demands by labor unionsd. inflationary policies by the Federal ReservePage Reference: 505

41. If a government wanted to use monetary policy to increase economic growth, which of the following steps should be taken?a. Decrease the discount rate to increase the amount of money in supply.b. Increase the amount of foreign currency kept on reserve in U.S. banks.c. Increase the amount of public revenue available for investment by raising taxes.d. Increase the government spending on public works projects.Page Reference: 498

42. The largest number of Americans benefit from which means-tested income security program?a. Social Securityb. Supplemental Nutrition Assistance Programc. Supplemental Security Incomed. Temporary Assistance for Needy FamiliesPage Reference: 505

43. Which of the following is a possible solution to the problem of long-term solvency in the Social Security program?a. increasing the Social Security taxes withheld from employeesb. decreasing the states’ financial contributionc. decreasing the minimum retirement aged. ensuring that there are fewer workers per retireePage Reference: 502

44. Keynesian economic policies promote deficit spending in order to reduce __________ and stimulate the economy.a. exportsb. importsc. inflationd. unemploymentPage Reference: 490

45. Deregulation of which of the following industries was a major contributor to the collapse of the subprime mortgage industry?a. the airline industryb. the energy industryc. the banking industry

d. the medical technology industry.Page Reference: 489

46. Which of the following is a disadvantage of addressing an economic downturn through fiscal policy?a. Fiscal policy results in layoffs of government employees.b. Deficit spending has long-term consequences.c. It frequently results in tax increases.d. It tends to benefit the wealthy more than the poor and the working class.Page Reference: 505

47. What do Medicare, Medicaid, and Social Security have in common?a. They are all health care programs.b. They are all entitlement programs.c. They are all programs that only the elderly are eligible for.d. They all provide food stamps to people in poverty.Page Reference: 501

48. Which statement most closely reflects a laissez-faire attitude?a. The federal government should bail out large corporations whose collapse would jeopardize the U.S. economy.b. The federal government should work with state governments to help small business owners learn how to manage their finances.c. The federal government should provide loans to assist business owners with environmental cleanup.d. The federal government should not intervene, trusting in the market to balance itself.Page Reference: 484

49. The war in Iraq began under __________ and ended under __________.a. Bill Clinton; George H. W. Bushb. Bill Clinton; George W. Bushc. George H. W. Bush; George W. Bushd. George W. Bush; Barack ObamaPage Reference: 524 – 525

2. One of the primary purposes of the war in Afghanistan that was waged during the George W. Bush administration was to __________.a. prevent the spread of communismb. remove the Taliban governmentc. protect religious freedomd. retaliate for the bombing of the USS ColePage Reference: 525

3. Which Cabinet-level department has primary responsibility for U.S. foreign policy?a. Department of Stateb. Department of Justicec. Department of the Interiord. Department of Homeland SecurityPage Reference: 528

4. What is a primary responsibility of the Department of Defense?a. to formulate diplomatic policyb. to implement military policy c. to coordinate domestic security effortsd. to advise the president about national security threatsPage Reference: 528

5. What is the role of the national security adviser?a. to be a consultant for academics and others with foreign policy expertiseb. to act as a liaison between the Department of Defense and the militaryc. to lead the Department of Homeland Securityd. to advise the president on foreign and military policyPage Reference: 527

6. Who serves on the Joint Chiefs of Staff?a. the Cabinet secretariesb. the Army chief of staff, the Air Force chief of staff, the chief of naval operations, and the Marine commandant c. the White House military intelligence corpsd. the secretary of defense, the secretary of homeland security, and the director of the Central Intelligence AgencyPage Reference: 528

7. Who heads the U.S. intelligence community?a. the director of the Central Intelligence Agencyb. the Director of National Intelligencec. the chairman of the Joint Chiefs of Staffd. the vice presidentPage Reference: 528

8. Which international organization was created after World War II at the urging of the United States?a. the League of Nationsb. the United Nationsc. the Warsaw Pactd. the World Trade OrganizationPage Reference: 518

9. One highly visible element of U.S. foreign policy in recent years has been the pursuit of __________ and empowerment.a. indigenous rightsb. gay rightsc. women’s rightsd. civil rightsPage Reference: 514

10. Which of the following countries is a permanent member of the United Nations Security Council?a. Germanyb. Indiac. Spaind. the United StatesPage Reference: 518

11. Which of the following countries is a member of NATO?a. Russiab. Chinac. Japand. the United StatesPage Reference: 520

12. Who instituted the Marshall Plan and who benefited directly from it?a. The Soviet Union instituted the Marshall Plan to benefit Eastern Europe.b. Germany instituted the Marshall Plan to benefit the United States.c. The United States instituted the Marshall Plan to benefit Western Europe.

d. Eastern Europe instituted the Marshall Plan to benefit Western Europe.Page Reference: 520

13. What event marked the end of the Cold War?a. détenteb. the collapse of the Soviet Unionc. the signing of the SALT II Treatyd. the resolution of the Cuban Missile CrisisPage Reference: 522

14. Which of the following countries has the most nuclear weapons?a. Israelb. Chinac. Russiad. the United StatesPage Reference: 539

15. Who is the largest trading partner with the United States?a. Chinab. Canadac. Germanyd. JapanPage Reference: 533

16. What was the foreign policy of containment designed to prevent?a. nuclear proliferationb. the spread of Soviet influencec. terrorismd. the Cold WarPage Reference: 519

17. Why was the North Atlantic Treaty Organization formed?a. to provide peacetime collective security for the United States and Western Europeb. to promote free trade between the United States and Western Europec. to minimize nuclear proliferationd. to enhance democratic government in newly industrializing countriesPage Reference: 520

18. Who is preeminent in U.S. foreign and military policy?a. the Joint Chiefs of Staffb. the presidentc. the State Departmentd. the National Security CouncilPage Reference: 527

19. The United States engaged in which of the following military conflicts in order to prevent the spread of communism?a. World War Ib. World War IIc. the Vietnam Ward. the global war on terrorismPage Reference: 520 – 521

20. What was the main purpose of the Marshall Plan?a. to repair relations between the United States and the Soviet Union near the end of the Cold War b. to help Europe’s economic recovery after World War IIc. to prevent the spread of weapons of mass destruction to unstable governments

d. to root out and eliminate potential terrorist threats before they are fully formedPage Reference: 520

21. What is the primary responsibility of the Department of State?a. national defense policyb. homeland securityc. intelligenced. diplomacyPage Reference: 528

22 Who is primarily responsible for military policy?a. the secretary of defenseb. the secretary of statec. the chief of staffd. the secretary of homeland securityPage Reference: 528

23. What is a main foreign or defense policy threat posed by Iran?a. civil unrestb. nuclear weaponsc. economic collapsed. trade disagreementsPage Reference: 514

24. Which of the following best describes Bill Clinton’s foreign policy?a. a refusal to enter security alliances with countries around the globe in order to equalize trade relationsb. a focus on policies of democratic enlargement that promote democracy and free markets throughout the worldc. a decrease in military spending to focus on humanitarian aidd. an expansion of trade with countries throughout the world without concern for potential human rights violationsPage Reference: 522

25. Which of the following was a fundamental part of the George W. Bush administration’s case for the 2003 war in Iraq?a. Iraq was directly responsible for the September 11, 2001, terrorist attacks.b. Iraq was a threat to American security interests.c. The Persian Gulf War begun by President George H. W. Bush had never really ended and needed to be brought to a close.d. Saddam Hussein had issued threats against the United States and had permitted Osama bin Laden to use camps in Iraq for training terrorists.Page Reference: 525

26. Which of the following countries would have been most opposed to the policy of containment?a. Afghanistanb. Chinac. the Soviet Uniond. South KoreaPage Reference: 519 – 520

27. Which of the following countries have posed challenges to the United States in recent years because of their economic growth and global influence?a. Japan and Franceb. Russia and Germanyc. Germany and Spaind. China and India

Page Reference: 54228. Congress can exercise influence over foreign policy through its power to

__________.a. command the armed forcesb. appoint the secretary of defensec. ratify treatiesd. recognize the sovereignty of foreign countriesPage Reference: 525

29. Which of the following is composed of a broad array of the president’s foreign policy advisers and is housed within the White House?a. the Department of Stateb. the Department of Homeland Securityc. the Central Intelligence Agency d. the National Security CouncilPage Reference: 527

30. Which of the following is a critique of the military-industrial complex?a. Ordinary citizens are generally uninformed about how the military-industrial complex works.b. Defense industry interest groups have too much influence over defense policy.c. The military decision-making process is too slow and complex.d. The president should have more influence over defense policy because the Constitution puts him or her in charge of the military-industrial complex.Page Reference: 532

31. Free trade agreements are designed to prevent which of the following?a. globalizationb. democratic enlargementc. détente d. protectionismPage Reference: 533

32. Which of the following is most consistent with the foreign policy of isolationism?a. a country’s refusal to intervene in an armed conflict between two other countriesb. a country’s willingness to use diplomatic sanctions to pressure another country to address human rights violationsc. the George W. Bush administration’s policy of actively rooting out terrorism before a threat has fully developedd. multilateral trade agreementsPage Reference: 515

33. During a rapidly developing national security crisis, who is the U.S. president most likely to turn to for advice?a. the House Committee on Foreign Affairsb. the Senate Committee on Foreign Relationsc. the United Nations Security Councild. the National Security CouncilPage Reference: 527

34. What can Congress do to influence foreign and defense policy if it is not satisfied with the president’s handling of these policies?a. Congress can fire ambassadors who are not executing foreign policy according to Congress’s wishes.b. Congress can reduce appropriations for executing the president’s foreign and defense policies.

c. Congress can command the military to execute foreign policy according to Congress’s wishes.d. Congress can change foreign policy with a joint declaration of two-thirds of each chamber, which does not require the president’s signature.Page Reference: 530

35. Because of NAFTA, an American business owner may be able to save money through which of the following?a. setting up a shell corporation in the Cayman Islands to avoid U.S. taxesb. moving a manufacturing plant from the United States to Mexico to take advantage of cheaper laborc. purchasing cheap goods from China without paying taxes or tariffsd. purchasing government-issued bonds to cover basic business expenses Page Reference: 533 – 534

36. Who would the president be most likely to consult to determine the best way to use the military to destroy North Korea’s nuclear capabilities?a. the secretary of defenseb. the secretary of homeland securityc. the secretary of stated. the national security advisorPage Reference: 528

37. Terrorists are most likely to target which of the following?a. elected officialsb. members of the militaryc. noncombatantsPage Reference: 535

38. Which of the following is an example of the exercise of America’s soft power?a. President John F. Kennedy’s authorization of military forces in Cubab. President George W. Bush’s demand that the Taliban-controlled government of Afghanistan turn over Osama bin Laden c. Secretary of State Hillary Clinton’s visit to Africa to address members of the small-business program in Zambia d. the Roosevelt CorollaryPage Reference: 543

39. With which of the following is the president most likely to consult for advice about how to best take advantage of the strengths of the various service branches when conducting a military operation?a. the Central Intelligence Agencyb. the Director of National Intelligencec. the secretary of homeland securityd. the Joint Chiefs of StaffPage Reference: 528

40. Which of the following would George Washington most likely approve of?a. the Marshall Planb. NATO c. neutralityd. NAFTAPage Reference: 515

41. Why is it difficult to coordinate the work of the various intelligence agencies that comprise the U.S. intelligence community?a. The head of the intelligence community is the head of the CIA, which operates completely independently of the other agencies in the intelligence community.

b. Each agency controls its own budget and does not always share its intelligence with the other agencies in the intelligence community.c. The Department of Homeland Security gathers intelligence, but then assigns the responsibility for acting on that information to various other agencies.d. The FBI and CIA are prohibited by law from having any interactions whatsoever.Page Reference: 528

42. How has U.S. foreign policy in Iran and North Korea been similar for much of the past decade?a. It has been driven by the nuclear threat that the countries pose.b. It has been largely driven by the September 11, 2001, terrorist attacks.c. It has been largely determined by the wealth of natural resources the countries possess.d. It has emphasized diplomacy over military action.Page Reference: 538

43. Which of the following is an accurate statement about terrorism?a. Terrorism usually involves military targets.b. Terrorism is typically designed to instill fear in the general public.c. Terrorism is typically better financed.d. Only nongovernmental political actors engage in terrorism.Page Reference: 535 – 536

44. Why did the United States join the North American Free Trade Agreement?a. to increase the number of trading partners readily available for American goodsb. to make it harder for Japanese cars to compete in the American marketplacec. to relocate manufacturing jobs to Mexico to take advantage of cheaper labord. to slow down the pace of globalizationPage Reference: 533 – 534

45. Why are isolationists dissatisfied with contemporary U.S. foreign policy?a. because the United States does not do enough to address human rights abusesb. because the United States actively inserts itself into world affairsc. because the United States has allowed China to catch up economicallyd. because the United States has refused to work with its allies to address terrorismPage Reference: 517 – 518

46. Why has the United States taken a keen interest in China in recent years?a. The United States wants to ensure that China does not fall into communist rule.b. The United States wants China to be a bastion of democracy in an otherwise volatile area of the world.c. China has a large supply of oil that can be exported to the United States.d. China is a large market and a rapidly growing economic and military power.Page Reference: 514

47. Why is diplomacy often preferred over use of the military to settle foreign policy disagreements?a. Diplomacy is more likely to be successful.b. Diplomacy is more likely to lead to military alliances.c. Diplomacy is more likely to lead to isolationism. d. Diplomacy is less likely to lead to war.Page Reference: 514

48. Which of the following is most likely to have the greatest influence over U.S. foreign policy?

a. secretary of stateb. the Central Intelligence Agencyc. Director of National Intelligenced. the Joint Chiefs of StaffPage Reference: 527

True-False Questions43. Medicare provides health care to the elderly and disabled; Medicaid provides

health care to the poor.Page Reference: 462 – 463

44. A crisis can catapult an issue onto the governmental agenda.Page Reference: 454

45. Prior to the enactment of the Patient Protection and Affordable Care Act, health care costs and the percentage of uninsured Americans increased dramatically.Page Reference: 451

46. The Patient Protection and Affordable Care Act is partially funded by an increase in Medicare taxes on those with high incomes.Page Reference: 464, 466

47. Fracking is a process for developing new water resources and is used in Western states to supplement groundwater supplies.Page Reference: 473

48. President Lyndon Johnson emphasized the importance of addressing poverty.Page Reference: 452

49. Education policy is primarily under the control of the federal government.Page Reference: 468

50. Under the Patient Protection and Affordable Care Act, all Americans are eligible for Medicare if they do not have other insurance.Page Reference: 462 – 463

51. Coal is the single largest source of energy for electrical production in the United States.Page Reference: 474

52. Advances in medical technology have led to increases in health care costs.Page Reference: 464

53. More than 25 percent of the energy consumed in the United States today comes from renewable resources, a massive increase from two decades ago.Page Reference: 472

54. Republicans have been more likely to support business opportunities for the oil and gas industry, while Democrats have been more supportive of developing alternative energy sources.Page Reference: 473

55. Due to safety and environmental concerns, the United States no longer uses nuclear energy to generate electricity.Page Reference: 473

56. Most electricity in the United States is produced from oil and other petroleum products.Page Reference: 474

57. The federal government increased its involvement in education in part because of concerns that that Soviet Union was surpassing the United States in math and science.Page Reference: 452

58. Indirect federal government aid to higher education includes research grants and financial assistance to students.Page Reference: 471

59. Barack Obama signed a law that cut student loan programs by about 30 percent.Page Reference: 472

60. The 2009 American Recovery and Reinvestment Act gave tens of billions of dollars to education programming.Page Reference: 471

61. Welfare is one of many programs that falls under the heading of domestic policy.Page Reference: 450

62. Republicans and Democrats are divided over plans to increase drilling for oil in the United States.Page Reference: 473

63. Since the economic crisis that began in 2008, the national debt has gradually declined.Page Reference: 494

50. Congress has the primary responsibility for setting the discount rate.Page Reference: 498

51. Supplemental Security Income is available to illegal immigrants.Page Reference: 504

52. Monetary policy uses the money supply to affect growth in the U.S. economy.Page Reference: 496

53. The Temporary Assistance for Needy Families program (TANF) requires that mothers provide information about a child’s father to receive full benefits.Page Reference: 504

54. In responding to the 2008 recession, the federal government relied solely on fiscal policy to restart economic growth.Page Reference: 505 – 506

55. All U.S. citizens are guaranteed to receive Medicaid when they retire, regardless of their level of income.Page Reference: 500 – 502

56. The 2008 federal bailout of the financial industry is generally referred to as TANF.Page Reference: 505

57. The national debt is the yearly difference between government revenues and the deficit.Page Reference: 490

58. The U.S. Constitution prohibits the use of taxing and spending to influence the national economy.Page Reference: 490

59. Keynesians would likely approve of the recent government stimulus package passed by Congress to deal with the recent economic crisis.Page Reference: 490

60. The money supply is determined by fiscal policy.Page Reference: 496

61. Deregulation of the banking industry contributed to the collapse of the mortgage industry, which contributed to the economic downturn that began in 2008.Page Reference: 505 – 506

62. One reason for the increase in health care costs is the aging population in the United States.Page Reference: 482

63. Social Security is an entitlement program.Page Reference: 501

64. Social Security is a pension program that collects and invests contributions from workers and then returns these funds with interest to retirees. Page Reference: 502

65. The president traditionally has more influence over foreign policy than does Congress.Page Reference: 527

50. The United States and the Soviet Union were the main adversaries in the Cold War.Page Reference: 519 – 520

51. In 2014, the United States levied economic sanctions against Russia after it undertook the first forcible annexation of territory in Europe since World War II. Page Reference: 544

52. The Joint Chiefs of Staff serves as an adviser to the president on military policy.Page Reference: 528

53. Since World War II, the United States has created and supported a protectionist trade policy. Page Reference: 533

54. The North American Free Trade Agreement promotes the free exchange of goods and services among the United States, Canada, and Mexico.Page Reference: 522

55. Recent U.S. foreign policy under both Democratic and Republican secretaries of state has focused on women’s rights and empowerment. Page Reference: 514

56. The primary responsibility of the National Security Council is to advise Congress about foreign policy.Page Reference: 527

57. The United States became involved in Vietnam to support the North Vietnamese who were fighting against communist aggression committed by the South Vietnamese.Page Reference: 520 – 521

58. U.S. foreign policy toward China is largely driven by concerns over human rights violations.Page Reference: 533

59. The 2003 war in Iraq was the United States’ most immediate and direct response to the September 11, 2001, terrorist attacks.Page Reference: 537

60. The recent wars in Afghanistan and Iraq were quick and decisive military and diplomatic victories for the United States.Page Reference: 524 – 525

61. Barack Obama’s approach to U.S. foreign policy is best described as isolationist.Page Reference: 514

62. The failure of the U.S. government to notice the developing threat to American interests posed by a new terrorist organization would suggest that the intelligence community is not doing a good job.Page Reference: 528

63. If Congress does not like the way the president is executing foreign policy, Congress can refuse to appropriate money for the president’s policies.Page Reference: 528 – 529

64. The president has primary responsibility for foreign, military, and defense policy in the United States.Page Reference: 527

Fill-in-the-Blank Questions63. __________ provides health insurance for the elderly.

Answer: MedicarePage Reference: 462

64. The National Environmental Policy Act of 1969 required that bureaucratic agencies complete a(n) __________ when proposing a new project.Answer: environmental impact statementPage Reference: 474

65. Education is generally a matter for __________ levels of government.Answer: state and localPage Reference: 452

66. Medicaid is designed to help the __________.Answer: poor and disabledPage Reference: 463

67. Public __________ refers to an intentional course of action or inaction followed by government in dealing with some problem or matter of concern.Answer: policyPage Reference: 450

68. The __________ was designed to improve the quality of water for swimming and fishing.Answer: Clean Water ActPage Reference: 474

69. In 2013, President Barack Obama’s budget included $27.2 billion to implement an “all-of-the-above” approach to __________ policy.Answer: energyPage Reference: 472

1. Social Security is a(n) __________ program because it provides benefits to all qualifying individuals.Answer: entitlement Page Reference: 501

66. In 2008, Congress passed __________ to help stabilize banks and the financial industry.Answer: the Troubled Assets Relief Program (TARP)Page Reference: 505

67. In 1913, Congress created the __________ to regulate the national banking system and provide for flexibility in the money supply.Answer: Federal Reserve SystemPage Reference: 496

68. The __________ is the difference between annual government expenditures and revenues.Answer: budget deficitPage Reference: 490

69. The federal government relies on a(n) __________ tax paid by employers to fund unemployment insurance.Answer: payroll

Page Reference: 503 70. The two primary tools of monetary policy are regulating the nation’s supply of

money and setting the __________.Answer: discount ratePage Reference: 496

71. A __________ program is an entitlement program that distributes benefits on the basis of demonstrated need.Answer: means-testedPage Reference: 501

72. The money supply __________ when the Federal Reserve Board increases the discount rate.Answer: contractsPage Reference: 498

73. The federal government uses fiscal policy when it decreases __________ in an attempt to spur spending and stimulate the economy.Answer: taxesPage Reference: 490

74. __________ is a reduction in market controls in favor of market-based competition.Answer: DeregulationPage Reference: 498

75. The American Recovery and Reinvestment Act was a combination of tax cuts and spending increases, both of which are hallmarks of __________ policy.Answer: fiscalPage Reference: 494

76. The large-scale, monopolistic businesses that dominated industries such as oil, sugar, whiskey, and meatpacking in the late 1800s are known as __________.Answer: trustsPage Reference: 485

77. Keynesians in Congress would support increasing __________ as a means to address high levels of unemployment.Answer: government spendingPage Reference: 490

1. After World War II, the United States, Canada, and Western Europe formed a peacetime alliance known as the __________.

Answer: North Atlantic Treaty Organization (NATO)Page Reference: 520

66. The Department of __________ is the chief executive branch department responsible for formulation and implementation of U.S. military policy.Answer: DefensePage Reference: 528

67. The __________ was the U.S. effort to help provide economic assistance to Europe after World War II.Answer: Marshall PlanPage Reference: 520

68. During President George W. Bush’s 2002 State of the Union Address, President Bush identified Iraq, North Korea, and Iran as a(n) “__________.”Answer: axis of evilPage Reference: 525

69. The __________ is the international organization created after World War II to promote global peace and security.Answer: United Nations

Page Reference: 51870. The Cold War strategy of __________ was intended to prevent nuclear warfare by

having a large enough nuclear arsenal that the Soviet Union would not dare challenge the United States.Answer: deterrence Page Reference: 520

71. Terrorism is a technique used to effect political change by instilling __________ among the general public.Answer: fearPage Reference: 535 – 536

72. U.S. foreign policy toward North Korea is largely driven by its __________ ambition.Answer: nuclearPage Reference: 540 – 541

73. The free-trade agreement between the United States, Canada, and Mexico is known as the __________.Answer: North American Free Trade Agreement (NAFTA)Page Reference: 522

74. Given the size of its economy and increased globalization, U.S. foreign policy toward __________ is motivated primarily by trade policy. Answer: ChinaPage Reference: 533

75. The United States entered the war in Afghanistan in order to topple the __________ government.Answer: TalibanPage Reference: 525

76. The Senate can influence foreign policy by approving (or refusing to approve) __________ negotiated by the president.Answer: treatiesPage Reference: 529 – 530

77. If the president wishes to address a foreign policy crisis without using the military, the president may instead opt for the use of __________ as orchestrated by the Department of State.Answer: diplomacyPage Reference: 536

78. The George W. Bush administration justified the war in Iraq under the doctrine of __________ in which threats to American interests would be proactively and aggressively pursued.Answer: preemptionPage Reference: 525