|Name: _________________________||Period: ___________________|
This test consists of 15 multiple choice questions and 5 short answer questions.
Multiple Choice Questions
1. What is the name of the theory that states that good is embodied in various actions regardless of benefits and consequences?
(a) The intrinsic theory.
(b) The subjectivist theory.
(c) The adherence theory.
(d) The implication theory.
2. What is the result of railroad subsidies by the government?
(a) Massive construction.
(b) Well-done construction.
(c) Rapid construction.
(d) Substandard construction.
3. What right does the author believe is basic to the concept of freedom?
(a) Self-governance rights.
(b) Property rights.
(c) Familial rights.
(d) Human rights.
4. What, according to the author, does the gold standard facilitate?
(a) Growth and sales.
(b) Trade and production.
(c) Production and sales.
(d) Trade and growth.
5. How is man viewed in tribal European culture?
(a) As free of the whole.
(b) As part of the whole.
(c) As subjected to the will of the whole.
(d) As independent of the whole.
6. To function as a medium of exchange, an item must be durable and what?
7. What does the author blame for crises and depressions in capitalism?
(a) Government interference.
(b) Bad choices.
(c) Cyclical economies.
(d) Allocation of resources.
8. How, according to the author, does the concept of private property come into existence?
(a) Through the Cultural Revolution.
(b) From Karl Marx.
(c) With capitalism.
(d) During feudalism.
9. The presence of regulation may make it harder to do what?
(a) Reward ethical behavior.
(b) Hide unethical behavior.
(c) Uncover unethical behavior.
(d) Announce ethical behavior.
10. What are the two most common metals used as a medium of exchange?
(a) Gold and bronze.
(b) Gold and silver.
(c) Gold and tin.
(d) Gold and iron.
11. According to Rand, what must the individual be willing to do in a capitalist society?
(a) Sacrifice for the government.
(b) Sacrifice for money.
(c) Sacrifice for monopolies.
(d) Sacrifice for the common good.
12. What is one example, according to the author, of how property rights can be established?
(a) The Homestead Act.
(b) The Gold Rush Act.
(c) The Settlement Act.
(d) The Western Settlers Act.
13. According to Rand, capitalism is based on what?
(a) Open borders.
(b) Altruistic principles.
(c) Government interference.
14. What does Greenspan claim is the best protection for the consumer?
(a) Independent agencies.
(b) A controlled economy.
(c) Government regulation.
(d) The profits of businessmen.
15. What helps pull the U.S. out of the Great Depression?
(a) World War II.
(b) The New Deal.
(c) Free trade.
(d) An economic expansion.
Short Answer Questions
1. The author believes that, in statism, businessmen are what?
2. Competition, according to the author, is regulated by what market?
3. The author compares statism to what kind of rule?
4. Who is the author of this book?
5. What do political economists assume that man is working for?
This section contains 449 words
(approx. 2 pages at 300 words per page)