View a FREE sample

This test consists of 5 multiple choice questions, 5 short answer questions, and 10 short essay questions.

Multiple Choice Questions

1. Inflation results when:
(a) there is no relation between output level and money supply
(b) the money supply increases less rapidly than the level of output
(c) the money supply and the output level increase at the same rate
(d) the money supply increases more rapidly than the level of output

2. According to Friedman, who is most likely to produce a shoddy product?
(a) consumers won't accept a shoddy product
(b) government
(c) private enterprise
(d) both government and private enterprise

3. Who has the greatest amount of choice in the selection of schooling?
(a) all have equal choice
(b) the wealthy
(c) the indigent
(d) the middle income group

4. One way of restricting entry to an occupation or profession is through:
(a) laws
(b) licensure
(c) agreement
(d) rules

5. As a result of inflation:
(a) consumers feel richer
(b) consumers buy more goods and services
(c) one dollar buys more goods and services
(d) one dollar buys fewer goods and services

Short Answer Questions

1. All but the following are functions of the CPSC:

2. The Department of Energy was formed in response to the:

3. The minimum wage causes:

4. Washington D.C.:

5. The school voucher program would give the parents:

Short Essay Questions

1. What are Friedman's views regarding big government?

2. Explain the relationship between the economic policy and the intellectual climate?

3. In what ways is the American Medical Association a labor union?

4. What are the political realities of a democratic system, according to Friedman?

5. Why do increases in the minimum wage result in unemployment?

6. Who benefits the most from a school voucher program?

7. What does Friedman feel has been more damaging that government spending in terms of government controls?

8. As America was settled, what was one of the first things communities established?

9. What are the two big issues faced in new drug approval?

10. What is the scope of the Consumer Products Safety Commission?

(see the answer keys)

This section contains 649 words (approx. 3 pages at 300 words per page) View a FREE sample