View a FREE sample

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

Short Answer Questions

1. What does Friedman prefer when it comes to exchange rates?

2. Which term refers to the government stimulating spending?

3. How are decisions, for Friedman, made where unanimity is a costly way of making decisions?

4. Who does Friedman think should set exchange rates?

5. According to Friedman, what is liberty's greatest enemy?

Short Essay Questions

1. What is fiscal policy?

2. How does Friedman explain government's role in a free society?

3. What was the definition of liberalism prior to 1900?

4. Concerning business cycles that Friedman explains, what is one role of government?

5. What is the multiplier effect?

6. According to Friedman, what is the difference between schooling and education? What does the government do?

7. What examples does Friedman give of when the Federal Reserve System mismanaged the money supply?

8. What does Friedman believe to be the cause of the Great Depression?

9. Explain the price system as described by Friedman.

10. What reason does Friedman refute for government spending?

Essay Topics

Write an essay for ONE of the following topics:

Essay Topic 1

Friedman discusses the role of government in education. He says that the government can require education because a democratic society cannot exist without a literate and informed population. Focusing on compulsory education, analyze the role of government in education.

Essay Topic 2

After describing the current international trade situation regarding government regulation of exchange rates and the price of gold, Friedman goes on to explain his free market solution. What is Friedman's solution? What are the positives and negatives with it? In your opinion, do you think it would work?

Essay Topic 3

Friedman makes a clear distinction between the historical usage of the term liberal and the present day definition. Compare and contrast the different uses of the term liberal.

(see the answer keys)

This section contains 644 words (approx. 3 pages at 300 words per page) View a FREE sample