|Name: _________________________||Period: ___________________|
This test consists of 5 short answer questions, 10 short essay questions, and 1 (of 3) essay topics.
Short Answer Questions
1. What is an example of a mercantile project?
2. What is the old subsidy rule?
3. What was the common rate of interest on borrowing through the greater part of Europe before the discovery of the West Indies?
4. What determines the ordinary market price of land?
5. What is the first part of capital use in every growing society?
Short Essay Questions
1. According to the author, why do men prefer slave labor rather than the services of freemen?
2. Define the original two kinds of militia.
3. What is the principal cause for the rapid progress of the American colonies towards wealth?
4. What are the three ways capital is used in the natural growth of a new society?
5. What is the difference between the two kinds of labor?
6. What are the two ways to impose land tax?
7. Why does want of parsimony in time of peace necessitate the contracting of debt in time of war?
8. What are the four general maxims regarding taxes?
9. How does a country fix the rate of interest on borrowed money so as to discourage usury?
10. What is the significance of where the capital of a manufacturer resides?
Write an essay for ONE of the following topics:
Essay Topic 1
The text says "Labour measures the value not only of that part of price which resolves itself into labour, but of that which resolves itself into rent, and of that which resolves itself into profit." Explain with examples how the price of every commodity in every improved society finally resolves itself into all of those three parts.
Essay Topic 2
Explain with examples the commerce that take place back and forth between the inhabitants of a town and the inhabitants of the country in a civilized society. What are the benefits to both? How does one area support the other area?
Essay Topic 3
Define and give examples for the two different meanings of the word 'value' as applied to use and exchange.
This section contains 1,084 words
(approx. 4 pages at 300 words per page)