Capitalism and Freedom Test | Final Test - Hard

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This test consists of 5 short answer questions, 10 short essay questions, and 1 (of 3) essay topics.

Short Answer Questions

1. For Friedman, what is the main argument for licensure?

2. What example does Friedman use to demonstrate his views on employment practices?

3. To what does Friedman equate competition?

4. What is one example Friedman uses to demonstrate his point on monopoly in industry?

5. According to Friedman, what is the goal of government intervention regarding the distribution of income?

Short Essay Questions

1. Do you think doctors should be required to obtain a license?

2. If people were given cash instead of subsidies like food stamps, how might they would use it to get themselves out of poverty, and how might it be wasted?

3. What are the three primary forms of monopoly?

4. What is the problem for Friedman with fair employment commission legislation?

5. Friedman accepts the reasoning that justifies "governmental action to alleviate poverty" (p. 191). What two issues must be addressed in order for this to happen?

6. What is the progressive income tax?

7. Why is Friedman against fair employment laws?

8. According to Friedman, can a liberal be an egalitarian?

9. What example does Friedman use to illustrate his point about direct cash payments to those below a certain income level?

10. According to Friedman, is there any justification for government intervention when it comes to distributing wealth?

Essay Topics

Write an essay for ONE of the following topics:

Essay Topic 1

What is the balance wheel theory of intervention? What is Friedman's view on it?

Essay Topic 2

Friedman articulates one solution for government involvement in education: vouchers. Analyze Friedman's voucher proposal to the current day voucher proposal and decide whether this would be a good solution to improve education.

Essay Topic 3

What is Friedman's stance on social welfare? Using examples from the text, explain his position and then advocate or rebut his position.

(see the answer keys)

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