2. After World War II government expansion was due to:
(a) nationalization of industry
(b) commerce
(c) central economic planning
(d) finance

3. A change in prices affects all but the following:
(a) nothing
(b) wages
(c) procedures income
(d) incentrive to act on information

4. Children from wealthy backgrounds have better chances in education and employment. This it not representative of:
(a) equality of opportunity
(b) equality before God
(c) equal rights
(d) equality of outcomes

5. The programs of the Roosevelt administration designed to deal with the Depression are called the:
(a) laissez-faire programs
(b) New Deal programs
(c) balanced budget programs
(d) financial assistance programs

6. Interested sophistry refers to:
(a) a new production technique
(b) a new marketing tool
(c) the knowledge of consumers
(d) buy cheap and selling high

7. Government subsidies to industry are viewed as:
(a) a way to increase efficiency
(b) unfair competition
(c) good economic policy
(d) a necessity

8. The higher price of pencils results in all but the following:
(a) fewer pencils
(b) better worker condiciton for pencil prolduction workers
(c) the firing of more workers to produce pencils
(d) higher wages for pencil production workers

9. Equality is discussed in all but the following ways:
(a) in every way
(b) opportunity
(c) outcomes
(d) before God

10. Free markets lead to:
(a) greater individual freedom
(b) less individual freedom
(c) economic tyrrany
(d) bankruptcy

11. A deposit represents:
(a) a liability of the individual
(b) money stuffed in a mattress
(c) a claim against the bank
(d) a loan to the individual

12. A coordinated restriction of payments by banks is used:
(a) intensify a run on banks
(b) faster a monetary expansion
(c) to stop a run on banks
(d) meet the public's demands for currency

13. Adam Smith wrote:
(a) The Price System
(b) Economic Made Simple
(c) The Wealth of Nations
(d) Das Kapital

14. Adam Smith says that voluntary exchange will not take place unless:
(a) one party can profits
(b) it is commanded
(c) both parties benefit from it
(d) the government can tax the transaction

15. Trade restrictions create:
(a) friction between nations
(b) a more competitive environment
(c) increase levels of trade
(d) a good political situation